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To: Jorjenzak who wrote (53)6/29/1999 11:17:00 AM
From: sks1  Read Replies (4) | Respond to of 18222
 
My post was to simply ask a question about why the company did NOT do this distribution in a normal manner. If I am a stockholder who does not read the nonsense on this thread and misses out on something of value because the company I am a legal investor in does not do it by the book then I have the right for legal recourse. Legal recourse costs the company $, time and prestige. What if this stock booms after July and my grandma or whoever has this at XYZ brokerage firm misses out on distribution? Do they have legal recourse?
Point #2--
If the company had not done a stupid financing KNOWING this could happen to the stock when they did the deal, then we wouldn't be having this conversation would we? Would there even be a short position in this stock? So after doing a naive financing now the company is doing a questionable distribution? How are you going to make the short positions responsible for delivering their pro-rata share of the distribution to the longs? And I am the one that hasn't thought this through completely? I am the one who spoke without thinking first? Ignorance is bliss isn't it boys! LOL

Point #3--
Often times there is more reason to be in a stock that has a short position than a stock with no short. Short positions are guaranteed future demand (buyers). Shorts often cover when they are being price squeezed. People who bad mouth shorts are simply ignorant of how stock price volatility works. DON'T get upset with me just study the short report and watch your charts for related action. If there were no shorts in any stocks we would have a tiny stock market with NO players.
Point #4. If the company had not done a bonehead financing that is now consuming their time and energy worrying about short positions they could have have been taking care of business and building equity instead of playing defense.
This has more potential pitfalls than advantages and more problems than solutions imho and for what it is worth I actually think the stock is undervalued at $.40 so don't even try to question my motives here other than to see this distribution done fairly and equitably for all stockholders (including making the short side pay what they would owe)in a normal manner.
sks1