There are/were hundreds of other stocks that have been allowed to trade for years that were clear scams. Not to say LAHO was being run like Amazon, but they had hired a reputable auditor to become current and had a legitimate LOI with GSCG; that's a lot more than those stocks being run by some kid in his mom's basement that are still being traded without repercussions.
Someone put pressure on the SEC to suspend them, that's my theory.