Replies to post #108510 on DD Support Board and Research Team

[janice shell]

OK so is this all good or bad for these symbols, any reinstatement and sale of shell for RM has to be good eh?

Not necessarily. If you go to the bottom of nodummy's post, you'll see that several of Tracy's shells are already worthless.

Others, like BILB, may be problematic because the shells have significant liabilities. It doesn't seem Tracy did much DD, if any, when he chose to bring custodianship actions. Of course, he has no way of knowing when the SEC might decide to revoke registration of any dormant company that's still an SEC registrant.

Part of the problem with his lists--I know of only two, both from April, but it seems you can sign up for more at the Barton Hollow site--is that he doesn't yet control all of the companies advertised. Obviously he can't sell any of those to prospective buyers until he's named custodian and has taken other steps to put himself in charge. So it wouldn't be smart for traders to make speculative plays in those.

And once he does gain control, he has to find a buyer. That could take awhile. To offer an example involving a different shell salesman, Bryan Glass got custodianship of the Amarium Technologies (AMMG) shell in early 2009, but didn't find a buyer until mid-2012.

Even pristine shells don't always sell. Back in the late 90s and early 2000s, Tony DeMint registered a fairly large number of new shells with the SEC. They were absolutely new, never been used. They were also blank checks, but at the time that wasn't a problem. Even so, I don't think he sold more than half. That may have been in part because he gave some of them funny names, like "Nothing Corp", and "Too Late Financials Inc"...

[nodummy]

Most reinstatement plays never amount to anything more than a half of a day of pump&dump action at best. Maybe a couple of short pump&dump plays if they are lucky. I think there is a group of message board type pumpers that watch for these type of plays and get in out front then use them for fast hit-n-run type pump&dumps. Lots of people get burned on these types of plays by getting in too late and chasing too high or being stuck holding still when the music stops.

Sometimes the reinstated tickers will be brought back to life just long enough to dump a bunch of new discounted free trading shares issued for past debts into the market then they get abandoned again.

Every once in a great while the shell hijacker will actually find a buyer for the ticker and it will come back to life with new filings and possibly even news/updates about new business operations offering some longer term trading opportunities, but most of these eventually end up getting ugly at some point as old debts are turned into discounted free trading stock and dumped into the market or new financiers/consultants that "helped" with the reverse merger/acquisition start getting paid back for their money and services in discounted free trading stock which they dump into the market.

There is no good reason for any of these abandoned tickers that still trade to continue to exist. The SEC needs to do a better job of deleting these tickers before they can be hijacked. 99% of the ones that get hijacked end up getting used for some kind of dilution/insider enrichment/pump&dump type scam if they are used for anything at all. Shell hijackers are some of the worst scum in the dirty penny stock world.