Avid Bioservices Inc (CDMO)

[swg_tdr]

excellent history lesson, StruftePeter

The SEC "grandfathered" all failed to deliver trades prior to January, 2005, effectively pardoning all those trades (for which money was paid but no stock ever delivered), from ever being required to deliver. This amounts to allowing those that violated delivery rules to keep the money from their illegal conduct.
The SEC keeps the number of shares grandfathered, as well as the dollar amount, secret, for fear of creating market disrupting "volatility".

May be. IMO, grandfathering was enacted to keep Cede (held by all the NY banks), the SEC personnel and any broker dealer harmless, ie. they never can be sued for pre 2005 deeds.

ALSO

many of the naked shorted penny stocks during the boom years were wiped out, winding up on pink sheets, later getting re-organized multiple times, and showing up on customer accounts at zero value with a code, for instance 147990469, all with naked profits non-taxable as there was never a closing transaction. CMKX and all its hype is a good example.

regards,
NHwild