Replies to post #35788 on BigHub.com Inc (fka BHUB)

[RDG013]

IRISH, heck if I know for sure. I am no lawyer, I finance companies for a living! Although, next time a take one of my lawyer referral sources to the strip club, I can ask!

Anyway, certain MM's had to take those certs and release the shares into the markets for the hijackers. I would assume they are responsible for validating those certs, but not sure how much DD they are required to do to be released from any liability. Of course, the MM's who were only trading in the market have nothing to fear.

[crooked33]

since when is it ok for brokers to sell unregistered shares in the market?

[Art2Gecko]

the brokers and the TA both have to follow the "know your customer" rules of the NASD, and also section 326 of the Patriot act (anti-money laundering section)

PARTICULARLY when issuing new shares into the marketplace. the TA was completely negligent, or completely incompetent, or apparently both. the Brokers who sold the paper are on the hook. This is why the DTC notice.

Will be an interesting one to see play out.