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Microcap & Penny Stocks : Naked Shorting-Hedge Fund & Market Maker manipulation?

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To: rrufff who wrote (4406)5/5/2009 10:47:26 PM
From: gregor1 Recommendation  Read Replies (1) of 5034
 
I agree with all 8 of your points. I agree doubly with point 7.

I would add one point which I believe you should make point 9.

#9 full disclosure of all short positions by mutual funds, hedge funds and have them public knowledge. I would extend that rule to corporations, reits, banks, trusts departments of banks, and business investment corporations similar to reits that disburse 90% of earning, just as reits do.

With respect of your 5 cent rule, I would make that for all stocks even otc.bb stocks (especially). All stocks under $20. I would increase the rule with a sliding scale up to 25 Cents for stocks over $100.

I would prohibit all mutual funds from loaning out shares for shorting. That is a conflict of interest. Last I would pass laws that would make it criminal for any brokerage firm of not buying shares of stock that show up on a customers account. Thus "shorting" shares that they talk unsuspecting customers to buy, that they know are declining.
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