RCC Holdings Corp fka RCCH

[mcokpba]

BBQ Food for thought – And so it goes. Gene Newton/RCCH sure is getting beaten up tonight. Anvil you fired up the coals much too early this week and the overcooked and dried out crow tastes horrible. I was wrong about the volume this week. As I spit out the first feather it occurred to me that part of the answer to my self directed question “why?” was in frogdreaming, ThSeeker and kurt999 posts.

While I was typing this post, Brad S seemed to reach the same conclusion.

Brad S (post 100542) It's simply amazing how many people chose to ignore these facts when the announcement was made and instead chose to spin it into a "get shorty" story.

My comment - In retrospect as Brad S points out, frogdreaming surprisingly gave me some insight as to why. Frogdreaming and I agree that the DTCC chill is in place for a “very good reason.” We just disagree on what the very good reason is. We both agree that the reason has NOT changed. But the basis for our beliefs lies in very different analyses.

Please note Kurt999’s post below about the continued restrictions, by even Fidelity now, on RCCH shares.

frogdreaming (post 100508) - The dtcc has locked RCCH apparently with very good reason, those reasons have not changed.

Kurt999 (post 100516) - (DB0002) This security is restricted from online opening trades or restricted to closing trades only. For more information please contact a Fidelity representative at 800-544-6666.

My comment – In my post 99986 I admitted to getting a little ahead of myself when the clearing of “aged fails” was first announced. In post 100315 I thought this week would be an excellent indicator of events to come.

True Hopes on RCCH SPIN #1 (Why I continue to hold)

This week’s volume was less than last’s weeks 63 Million shares. Why? Some say, without proof of course, that there are NO naked short sellers. Hard to prove/disprove an illegal activity with links on the internet. But if there were no fails to deliver during the period 21 January through 14 August 2011 why is the DTCC concerned about “legacy of aged fails?”

I posted “This 5 day nonevent (!?!) will be an excellent indictor IMO of the current RCCH available float. No volume, No Cover would be an objective fact that current LONGS would have to seriously evaluate. “

My initial serious self evalutation

The DTCC program to clear frogdreaming’s very narrowly defined “aged fails” of RCCH did not accomplish its’ intended goal. JMHO of course. The retail investors were closed out of the program. Hence the lack of volume. The available RCCH float is so small that only 33 Million shares traded hands. Longs were either locked out of the process or holding their positions. REAL shares not air shares are just not available. If NITE naked short RCCH before or during the chill they have no motivation as far as I can see to change their position/risk their financial capital. Thus far I have not seen any enforcement process out of the DTCC or SEC. That is why I continue to wait. Yes I know that a buy in is NOT part of the SEC remedies sought in the Gendarme Case. That will be up to RCCH after the SEC case is resolved.

ThSeeker (post 99969) - I don't think the DTC goes after anyone.

My comment – No cover occurred because the naked shorts sellers do not feel sufficient pressure from the DTCC yet and the current available float of REAL shares is not sufficient to clear their accounts. That is why I think we have a wait ahead of us yet.

Frogdreaming (post 100508) - Stop with the misrepresentation. The Global Lock (or what you call the 'chill') was NOT LIFTED. No one ever said it would be.

Quote:
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,Jimthorpe (post 100507) - ,wow this week chill was lifted but i still dont see people selling.
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Frogdreaming (post 100508 continued)The DTC agreed to help those who had tried to transact shares (unknowingly) AFTER the lock went into place and were therefore unable to settle the trades. There was NO shorts there was just uncompleted bookkeeping due to the lock.

The DTC was quite explicit there would not be any new transactions in the global locked companies, there would just be a week long period in which PREVIOUSLY completed sales could be closed out.

No one could sell this week because the global lock is still in place and only those brokerages that were closing their trades manually were active. If you couldn't sell your shares through the globsal lock last week, you still couldn't sell them this week.

The dtcc has locked RCCH apparently with very good reason, those reasons have not changed.

In post 99986 I made the comment – I believe only the participants (market markers) will be able to take advantage of this limited thaw. The volume will be interesting to watch but I now agree with Minnesinger that we should not expect/anticipate billions in volume for the week. The direct phone calls from broker/dealers seeking my shares will have to come later. Minnesinger, I hope you have a comfortable chair also. We still have a wait in front of us.

ThSeeker - Question to all: What will the DTC Lift accomplish and what will it not allow?
I have a feeling most of us do not understand what the temporary DTC chill lift really means.

My comment – I think you were right and I had gotten a little ahead of myself. The DTCC lift did not accomplish much.

ThSeeker - Can someone clearly define what "Aged Fails" really means?
I think is applies to transactions that the participants executed on these shares AFTER the DTC Chill went into effect. So DTC is giving them a chance to clear those up.

My comment – I think you are correct and my initial reading of “Aged Fails” was far too optimistic and assumed too much. I agree the DTCC targeted only a very small subset of all aged fails. Those that occurred shortly after the DTC chill went into affect for those brokers that DTC services.

ThSeeker - Will transaction such as NSS or whatever that took place before the Chill even be eligible? I doubt it.

My comment – You and frogdreaming have been proven correct and this is just a DTCC housecleaning effort. The NSS or whatever that took place BEFORE the Chill was not eligible.

ThSeeker - Also I do not think this DTC lift means the DTC will allow new transactions to take place. As this action is meant to clean up aged fails not to lift the Chill for business as usual. Since the chill goes back into effect as soon as this cleanup period is over. That is main reason I do not think DTC will be clearing new buy sell activity during the lift.

My comment – Proven correct again. Their intent was to clear the very small subset of fails to deliver without new buy sell activity. It did not happen and the lack of volume indicates that.

ThSeeker - So all this short covering expectations may be bogus and not even possible through DTC.

My comment – Only the participants (market markers) were able to participate in this limited thaw. That the clearing process could not evolve without new trades has been made clear. Guess we will find out in the coming months what the DTCC plans to do about its’ legacy of failed trades still on the books. I continue to believe the primary reason for the DTCC chill on RCCH was the SEC Gendarme filing. When the Gendarme case is resolved it will be interesting to see the fallout. Will the DTCC continue to clean up? Will the DTCC/SEC bring transparency to the RCCH situation?

http://www.dtcc.com/downloads/legal/imp_notices/2011/dtc/set/0846-11.pdf

Nodummy’s post on the DD Support Board and Fraud Research Team Board was correct.

Nodummy - During that same period a chill will remain in place to prevent any other services from taking place including deposits and withdrawals. So in other words - no new trades.

My last comment – When the SEC Gendarme case is resolved and the DTCC chill is lifted then RCCH will have the legal platform to proceed. NITE was responsible for close to 90% of RCCH transactions last couple of years. Eventually they are going to have to clear their accounts. The DTCC has put them on Important Notice that the legal landscape has changed and legal clearance of ALL trades is coming. Time is on our side. I will continue to hold. D**n this crow tastes terrible………