Bancorp International Group Inc (fka BCIT)

[mastaflash]

Find me a broker in Canada,US or offshore that will allow anyone to short Pinks or for that matter, anything under $2.50, without horrendous margin and maintenance required and I'll be there. But you can't. Federal Reserve Regulation T requires investors to utilize margin accounts to post collateral for short sales. Most brokerage firms use this regulation to prevent investors from shorting most microcaps. Here are a few I know about: E-Trade, for example, under $2 are not marginable. Schwabb: marginable stocks must be traded on a major exchange and cost $3 or more. Scottrade stipulates stocks costing less than $5 are not shortable. Intereactive is the only one I know you can short pennies, but its brutal:

http://individuals.interactivebrokers.com/en/p.php?f=margin&ib_entity=llc

e.g. 200M shares shorted...collateral required? $5B.

All that is assuming the broker could 'locate' 200M shares.

So how would Stewart do this? Who was his broker? You should know this.

...then there is the collateral...The margin and maintenance fees, for stocks under $2.50 is a minimum of $2.50/share and that plus the cash from the sale normally cannot be used until the short is covered. ( Maintennace are in addition ). For all practical purposes, Stewart could not have shorted BCIT.

And if he did, he is facing ruin..so is the broker BTW.

That is just one of many reasons your 'speculations' are all wet...