The most important due diligence anyone should do BEFORE buying a stock is to access EDGAR to see if the company is an SEC Registrant and is current in their filing obligations. Study their Financials and other Filings to determine the risks in buying that stock, and if a company hasn't filed Financials for 5 years DO NOT BUY that stock under any circumstances.
If a company is not an SEC Registrant and only submits unverified information to OTC Markets then the risk must be automatically HIGH and buyer beware.
This is not the SEC's fault. 100% blame is on MSGI and the responsibility for buying a severely delinquent filer is on the shareholders who did not do appropriate due diligence. Learn from this experience.