Spongetech Delivery Systems Inc (fka SPNGQ)

[Rocket Rider]

The huge short position is not legitimate Shorts but illegal shorting via NSS (Naked Short Selling)...
www.businessjive.com will explain the whole story... but long story short, crooked MM's have been using NSS to make a ton of money off of pretty much any OTC stock that has a smidgin of success... they do this by selling shares they don't own at a high price and this floods the market with phantom shares which then causes the price to sag since all the buying is soaked up with the fake shares, asks never get hit and the sellers, however few they are, remain... HOWEVER, eventually the MM's are forced to cover their phantom short sales by actually purchasing back the stock they already sold, this causes a Short Squeeze. We KNOW NSS is happening to SPNG by looking at the FTD data from the SEC website AND since it is on the Reg SHO list.
Conclusion: MOASS coming soon! HOld on, cuz this rocket is launching!