Replies to post #273731 on Spongetech Delivery Systems Inc (fka SPNGQ)

[alien42]

spng does not want to file the 10k's and 10q's until they are on the otcbb

that is not possible and 'your understanding' is incorrect. SPNG can not trade on the OTC until they they are up to date with their filings and there are no exceptions to that rule.

[Risicare]

my understanding from other posters is that spng does not want to file the 10k's and 10q's until they are on the otcbb where the good news will have the biggest bang for the buck...thus negotiations are under way to make the filings and granting of the 211 as simultaneously as possible...apparently finra is the one holding up the deal...


Who ever is saying that stuff is a bald faced liar

first off the Qs and K have to filed before the 211 and the time from getting off the pinks to the OTCBB is months easily and after the 211 if filed which could take months to be approved. Anyone who thinks that SPNG has found a market maker to sponsor the 211 is full of it as no MM would even consider touching a penny stock under SEC investigation.

[Our-Street]

my understanding from other posters is that spng does not want to file the 10k's and 10q's until they are on the otcbb where the good news will have the biggest bang for the buck...thus negotiations are under way to make the filings and granting of the 211 as simultaneously as possible...apparently finra is the one holding up the deal..

Well your understanding is 100% incorrect and I would love to know of a credible source that is putting forth information that suggests such nonsense. Once again, for the benighted, here is how it works.

Only a potential market maker can file the 15c2-11 information with FINRA. If they do not do it correctly the SEC has laid out exactly what the consequences would be:

If any broker or dealer is uncertain as to what is required by Rule 15c2-11, it should refrain from entering quotations relating to SpongeTech’s securities until such time as it has familiarized itself with the rule and is certain that all of its provisions have been met. If any broker or dealer enters any quotation which is in violation of the rule, the Commission will consider the need for prompt enforcement action.

So, to even start the process with FINRA, the company must get current in its filings. There is absolutely no way FINRA is going to enter into discussions with anyone about SPNG and the 15c2-11 until a filing is made. You act like SPNG is an important stock. It wasn't before the suspension. To FINRA, who deals with the entire community of stocks both large and small, SPNG was nothing but an unimportant bulletin board stock... an inconsequential speck of dust in within the greater markets. Now that the SEC has kicked it to the gray markets, it is less than a speck of dust to them. To them it is a pariah and unless and until it can get its act together, get current in its filings and convince a market maker to file on its behalf, it won't be given a second thought by anyone at FINRA.

If and when that day ever occurs, FINRA will then look at it with great suspicion and will consider it only under the highest scrutiny. FINRA does not make accomodations.... it never pre-approves or interprets the rules in a uniquely favorable way for big companies, let alone insignificant gray market stocks.

There is only one hold up here and that's the company. They have not done what is necessary to allow their auditors to get the re-audits done. If the auditors had been paid and provided with requested documents, the first of the re-audited filings would have already been filed. It really is as simple as that.

If you have any doubts, call FINRA, ask them how the process works and if they make exceptions for companies like SPNG. Many people here have an exaggerated opinion of where SPNG fits in the greater scheme of things. While the money you have wasted on SPNG stock may make it important to you, I assure you, to those in the industry, it's nothing but another bulletin board scam that was caught and is now in its death throws.

Check Investors Business Daily, the Wall Street Journal and Business week. Check the Motley Fool for that matter for recent updates on SPNG. You will see, it only matters here and here is as close to nowhere as you are going to find in the world of stocks.