Now we all know that someone is shorting the stock. And we know that it is not Smithline. It is interesting that someone predicted the exact outcome of the shorting entity. I think the number was 14 cents.
Half stated: "5. Short Selling. The Funds agree that they will not “sell short” any Common Stock prior to the earlier of (i) the consummation of the Public Offering or (ii) February 19, 2010."
Well, half, Smithline is not the lender. The lenders are CAMOFI Master LDC, and CAMHZN Master LDC.
Smithline could short all he wants and claim to not be in violation.