GNCC Capital Inc (GNCP)

[BigBake1]

Wrong, naked shorting is not illegal, the SEC spells this out clearly and by definition they are recorded, its called Fails To Deliver:

Failures to deliver may result from either a short or a long sale. There may be legitimate reasons for a failure to deliver. For example, human or mechanical errors or processing delays can result from transferring securities in physical certificate rather than book-entry form, thus causing a failure to deliver on a long sale within the normal three-day settlement period. A fail may also result from “naked” short selling. For example, market makers who sell short thinly traded, illiquid stock in response to customer demand may encounter difficulty in obtaining securities when the time for delivery arrives.

“Naked” short selling is not necessarily a violation of the federal securities laws or the Commission’s rules. Indeed, in certain circumstances, “naked” short selling contributes to market liquidity. For example, broker-dealers that make a market in a security[4] generally stand ready to buy and sell the security on a regular and continuous basis at a publicly quoted price, even when there are no other buyers or sellers. Thus, market makers must sell a security to a buyer even when there are temporary shortages of that security available in the market.

https://www.sec.gov/investor/pubs/regsho.htm

I highly recommend actually reading this FAQ, its far batter than regurgitated Internet garbage spewed from occurrences back before Reg SHO in 2007.....lol