InvestorsHub Logo
Followers 3
Posts 800
Boards Moderated 0
Alias Born 04/09/2004

Re: EarnestDD post# 293107

Tuesday, 02/19/2008 11:24:13 AM

Tuesday, February 19, 2008 11:24:13 AM

Post# of 311068
It is hard to find actual proof of Naked-Shorting or the Selling of Counterfeit Shares, for obvious reasons, the main one being that the MM's, Brokers,etc. can just pass the FTD's amoungst themselves before the mandatory reporting period is up,to avoid reporting anything!

Besides, it's easier to drive a Small Cap out of business so logically they would be the best targets for this illegal practice, so I think you are wrong on this point also!

Also, small companies tend to use non-mainstream financing, so they are more vulnerable to these PIPE Financing "slimeballs" that lend money in exchange for shares, & then just go ahead & break the contracts by Selling the shares they got illegally before are allowed to, according to the contract.

IF I was in the position to NSS or to Sell Counterfeit Shares, I would certainly target Small Caps over the larger exchanges where the regulators watch much more.

John Good