Decision Diagnostics Corp (DECN)

[cvinvestor]

Paragraph 27 of 550 Petition:

Specifically, the staff requested all documents and communications concerning various statements contained in eight (8) press releases issued by DECN between March 3, 2020 and March 23, 2020, as well as all documents concerning four (4) individuals, including but not limited to their trading in DECN stock.

(emphasis mine)

The more I reflect, the more it appears to me that the SEC suspension has more to do with "mis-leading information in the marketplace" and trading issues, whether or not they are even directly related to the company's own actions.

According to KB 550 Petition, the SEC task force (formed and working from their kitchens, per the SEC's own website using computers and much of the COVID-19 related fraud connected to Fraud and insider Trading division) staff asking the questions didn't understand the basis or basics of the technology of the company's test kits or test strips.

I think it is very possible that the SEC task force, working on many companies (as we see from all the suspensions), took the PR statements to be "too good to be true" since the questions were done over the phone and the SEC task force has no way to judge whether or not the test kit could work in 15 seconds. PCR test can take hours and Abbott's minutes with a special machine. SEC most likely automatically suspected DECN to be fraudulent from the beginning based on the 15 second claim.

Then if other pumpers accessed the companies future slides touting the product as FDA cleared, and that was submitted to the SEC along all the other type accusations we've seen posted on this board, along with trading patterns atypical for the stock, that the SEC took action and suspended trading thinking they had sufficient reason to shut it down, regardless of what the company said.

Per the 550 Petition, the SEC didn't wait to get documents from the company (proof of the company's reasons and background for the PR) before issuing the Suspension Order. Therefore, the SEC took action before and without the company providing its documentation and defense.

I don't know SEC rules and regulations, but if they shut down trading and blackballed the company for what others outside the company were doing, that's hardly justice or right. And they or others might not care, as long as the SEC has the legal right to do so.

So, as in the past, we can only hope that the test kits themselves pass the FDA testing soon and that the need for these kits and people higher up than the SEC take action to right the situation should the SEC have acted precipitously and on unconfirmed or inaccurate data.

For you SEC and trading law experts out there, what is KB's and DECN's liability if the company to whom they issued shares in return for financing, worked with others to pump/dump their shares?