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Re: dragon52 post# 60513

Saturday, 09/21/2019 6:46:02 PM

Saturday, September 21, 2019 6:46:02 PM

Post# of 71147
Brokers circumvent "failure to deliver " by swapping shares between themselves thus resetting the clock until shares become available. Multiple "failures" gets them in big trouble with the SEC. I'll be the first to tell you that I'm no expert. I'm researching like everyone should be. We are in a unique situation compared to most pinks that are suspended/revoked and just fade away. We're kinda stuck in limbo and our shares are not tradable.... yet. If the company files bankruptcy, then the positions disappear from shorts accounts and they keep the profit cause they don't have to cover. The longs are stuck with a loss that they can write off. BUT if the company does not file bankruptcy and the shares are reissued, it is my opinion that we go back to the point we were before the suspension where the longs are ok but the shorts have racked up daily lending fees. Although the shares may be untradable after revocation, the positions should still be open. I don't see a situation where you can borrow shares and never have to cover outside of bankruptcy. Will LAHO cease to exist? Yes...but through acquisition not bankruptcy. So we have a technicality here that we'll just have to wait to see how it plays out. I hope that at least attempts to answer your question.


GL

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