They will focus on the dumping of unregistered shares. What they should focus on is whether those unregistered shares were sold to cover short positions or they were sold outright. Very common theme with companies that get into trouble. There always seems to be a third party dumping unregistered shares and the company and the shareholders are the ones that suffer and pay the price.
Please research all stocks before investing. My posts are my opinions and are not buy or sell recommendations. Always force abusive short sellers to cover above what you paid. Build wealth for fellow iHub'ers!