Future doc stated: " Won't the SEC ask them to file a new S1 then? Also, why was the previous one not approved?"
I sort of doubt the SEC will do the research to actually see they defaulted on their loans. IMO, the SEC is overwhelmed with all the filings, etc. Also, they go after headlines, i.e. Martha Stewart.
As for the previous S1 that was never approved, I do not know but it is highly unusual for an S1 to be pending for almost 9 months and then withdrawn.
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