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Re: LoneGrey post# 71004

Monday, 10/11/2010 4:59:19 PM

Monday, October 11, 2010 4:59:19 PM

Post# of 111214
I can imagine how your broker felt when he was millions short and then got that buy in notice on the stock. Probably sick to his stomach.

1. In the theoretical scenario you propose, the broker wouldn't care. He'd pass the buy-in notice on to his client, and, if the client didn't cover immediately, he'd liquidate as much of the client's account as necessary.

2. Your scenario is indeed theoretical, because no buy-in notices have been sent to anyone. That would only happen if there were actual significant fails to deliver. If there were significant fails, EIGH would be on the Reg SHO list, and it is not.