If you are right, then E-trade will not release the funds. If am right however, when people close their accounts all the funds will transfer to the new brokerage. We shall see.
Atleast one poster here said that etrade released the hold on his/her dividend. So now we are talking even weirder situation with them if that's true. How can they be the only brokerage to hold as I know, and how are they removing the hold for just some. Getting crazier for them legally if any suits are filed. Just my opinion only.