Spongetech Delivery Systems, Inc. (fka SPNGQ)

[wadirum1]

Fidelity holds your shares in its ("street") name (not under your name) -- in fact, it holds them electronically through an account at DTCC.

When SPNG management says that they audited DTCC accounts, one concern is finding brokerages holding far fewer electronic certificates than they believe the broker's clients hold. These might have been loaned out for shorting. Their other concern is that the total number of electronic shares at DTCC apparently exceeds what they know to be the float. As you pull certificates out of this system, apparently the imbalances become more acute and more obvious. The company sees this through their transfer agent and more importantly the brokers see this.

I keep coming back to the company I followed last Jan and Feb (I gather I cannot poSt the name OR that will be Cause for having my post deleted). The stock's reported short interest rocketed up between the 2-week reports by an amount equal to the entire volume over the prior three months. The company never provided me with an explanation. They said it might have been a naked short who was finally able to borrow the shares, but they were not sure.

These smaller stocks are wildly manipulated IMHO and the company needs all the help it can get.

Wadi Rum