MGCN update 11/16/99
As I noted in my last update, Tom Lavin has been cracking down on info coming out of Megachain, so the amount of additional info I've managed to obtain is very limited. However, I can report that:
1. MGCN continues to sign up vendors.
2. MGCN still plans to launch sometime this quarter, which means before the end of the year. Although many, including Lavin himself, had speculated that the launch might happen earlier, the official line at Megachain since last spring has always been, "the plan is to launch in the fourth quarter."
3. It is my impression that the SEC has now accepted almost all of MGCN's answers to their questions, but have asked for yet more clarification on a very small number of final issues. MGCN is currently responding and, once again, will have no control over how long the SEC spends processing those answers.
4. Dealing with the SEC (and with shareholder inquiries about it) is unfortunately taking manpower away from launch preparations, which is delaying the launch.
Many shareholders are asking, "Why doesn't Megachain put out a news release about the status of their dealings with the SEC filing?" The short answer is that SEC regulations do not permit them to say anything material about the process. Saying anything other than that MGCN is dealing with the SEC (which is obvious) would constitute speculation about the outcome of the filing, which is not permitted.
signed,
Blue Voodoo |
