Fortress Financial Group fka FFGO

[varmit]

s for delivery failures in particular, there are SEC and SRO rules setting forth the responsibilities of brokers. Contrary to the WSJ article, the regulatory authorities do indeed have "mechanisms" to enforce the delivery rules. From the perspective of DTCC, however, in addition to not having enforcement powers, we do not know whether a sale is long or short -- certainly not whether it is "naked."

We can understand that some of our critics and legal adversaries have sought to portray DTCC as a contributor to naked short selling, but as the SEC has said repeatedly on its Web site and in legal filings (http://www.sec.gov/divisions/marketreg/mrfaqregsho1204.htm and http://www.sec.gov/litigation/briefs/nanopiercesecbrief.pdf), we are not responsible for this issue. The WSJ had this information