Reaon why the Naked Short excuse doesn't fly!!!!
trinity, you're lagging months behind. Naked short may have been a theory 6 months ago that many of us bought into (yes, we know all about the link and ppt. presentation about the evil ns), but in light of all that happen since I seriously doubt that is the problem
Reason 1:
Management hasn't done anything about it. There were plenty of opportunities to hurt the shorts but they haven't done a thing to address it. Since management was made aware of the investors pointing the finger at naked shorting, they used it as a smoke screen to hide what's really going on (thanks to Laser, for faxing all the info. to Jim Dial, it's like giving the enemy our battle plan before the war).
Reason 2:
Increased authorized shares from 200 million to 400 million. If the O/S was only 40 million, 20% of authorized shares, why would Grifco need to double the number of autorized shares? First of all, we know from TTII's filing that JD pledged 56 million shares towards the merger. This annhilates the 40 million share theory (and the stock buy back PR from last December). In addition JD gets Preferred Shares with super-voting power equivalent to 100 million common shares. If there are only 40 million shares o/s wouldn't 21 million common shares be enough to control the votes?
There's never been an explaination as to why the A/S was increased. The closes one we got was Laser's comment after meeting with JD that "...it made sense to me at the time he explained it, but I forgot the explaination".
Reason 3:
Jim Dial has been very tight lipped about confirming the share count. He's even instructed the transfer agent not to disclose the amount. He didn't send out a proxy to the shareholders for the October SH meeting...even though ther ewere 7 items that were to be voted on.
Reason 4:
JD needs bodyguards and metal detectors to face the shareholders....need I say more?
