Calissio Resources Group Inc (CRGP)

[janice shell]

There was nothing about restricting trading.

Once upon a time. the SEC didn't bother much about penny stocks. Historically, they were only traded by a small number of people. For the general public, it was hard to find information about them. For the most part, only professionals knew about the literal Pink Sheets that published occasional quotations.

And then along came the internet, and with it, online trading. Many new investors were attracted to cheap stocks, and didn't care whether they were SEC filers or not. To deal with that problem, in 1999-2000, the SEC saw to it that all Bulletin Board stocks were required to file, or they'd be kicked off the Bulletin Board.

That might have been an effective move, had not Cromwell Coulson and his colleagues recently purchased the National Quotation Bureau (NQB), which, among other things, ran the Pink Sheets. Coulson's trading platform was initially called Pink Sheets, and around the turn of the century, it introduced Pink Link, which for the first time made trade execution electronic for the OTC stocks.

Pink Sheets is now OTC Markets Group. For obvious reasons, it's fought some of the kind of regulation the SEC wants to impose on its clients. It would probably like to be a regulator, but it isn't one, and probably never will be. The regulator of OTC issues is FINRA. That's a role it's played since the formation of the Nasdaq and the creation of the OTC Bulletin Board. It would really rather not do it, but the SEC is fine with it.

To return to what you said: "We all know that the SEC Rule was meant to restrict QUOTATIONS. There was nothing about restricting trading", that's just wrong. Once an issuer loses compliance with Rule 15c2-11, it's Grey. If it wants to escape from Purgatory, it needs to find a broker-dealer willing a new Form 211.