Overstatement? Perhaps... Depends on how much they are truly short. As I mentioned in my post, I believe the shorts are FAR higher than any website is offering as a result of ex-clearing or continued shorting.
I don't think they are trying to cover...but they will have to if there is a settlement. The will be 100% responsible for covering at settlement price/exchange,...even if it is 56million shares. Thats a HELL of a hit to take.
Let me say it like this...if there is a HALT-Settlement and they haven't covered...they are "caught". And since they aren't covering.....