I'm taking a position gamble in JLIC....small O/S 44 mill...float has been estimated around 14-16 mill.....very very tight trading. Could get a float lockdown scenario, we'll see. It filed for Ch 11 last Friday:
By Daisy Maxey
Of DOW JONES NEWSWIRES
NEW YORK (Dow Jones)--Jesup & Lamont Inc. (JLIC), a small brokerage firm, filed for Chapter 11 bankruptcy Friday in Manhattan.
The company, which was established in 1877, said in early July that it would terminate all nonessential personnel with the exception of a few executives and some other limited staffers. That downsizing came after the Financial Industry Regulatory Authority ordered the company to cease conducting a securities business, other than liquidating transactions, because of its failure to meet net capital requirements.
Due to the net capital issues and Finra's order, the company "lost its main source of revenue and decided to wind down its remaining business," the filing said.
Reuters reported the news earlier Friday.
Jesup & Lamont couldn't be reached for comment.
The company has $41.2 million in assets and $24.6 million in debts, according to the court filing. The Internal Revenue Service is its largest creditor, according to the document.
The lingering downturn is slimming the ranks of smaller and less-sound regional and independent broker-dealers.
-By Daisy Maxey, Dow Jones Newswires; 212-416-2237; daisy.maxey@dowjones.com
(END) Dow Jones Newswires
July 30, 2010 16:51 ET (20:51 GMT)
