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To: DJ Byrne who wrote (39765)2/2/1998 12:16:00 AM
From: Angel D  Respond to of 55532
 
DJ,

That struck you, too? The SEC actually develops strategy to bleed companies dry and put them out of business? ROFL. Good one, Ron. I hope they're monitoring tonight. Good luck talking your way out of that one!

Regards,

AD



To: DJ Byrne who wrote (39765)2/2/1998 12:38:00 AM
From: Hawkmoon  Read Replies (1) | Respond to of 55532
 
Why??? In many cases it is quite plausible.

The SEC doesn't want to take their cases to litigation. Having their investigative process made subject to the discovery process is simply not in their interests unless the financial reward(fine) is large.

Thus, that is why so many investigations linger on for months or even years while the offending company is ostracized by the market and its stock dies until eventually the money runs out. Or, they agree to settle, pay a punitive fine and STILL wind up facing an unfriendly market for their stock.

That is why most small companies that are halted by the SEC NEVER resume trading again. Look at the stats for this and you will understand my point. That is also why any company that "does" resume trading may have had more going for it than originally thought.
AND... if a company returns to BB status from the Pink Sheets, it may be a stock that you want to pay particular attention to as a potential value play. It certainly warrants a closer look at what they are about.

Regards,

Ron