posted
OK Tex...don't remember anything about "settling" being involved
"fully paid" is the key wording here that i am focusing on.....it means settled, as well as no borrowing is involved in the purchasers account...
"no margin debt against the account" as opposed to the stock..
if you have bought on a margin account? and you have unsettled funds within your acount AT ALL? are all of your shares that are in your account "fully paid"??? this is the question that it all hinges on IMO...
if shares in cybertrade are frequently already available to borrow without asking.... is there a sort of a "slush fund" available at all times???
this particular fully paid issue? this is stated to be an extreme situation. is this required to bolster the "slush fund" that the brokers already have???
remember the three day rule? they encourage everyone to use margin so the traders who are not buying on margin anyway can ignore the three day rule, and trade more frequently.... this gives the brokers a big "pool" of shares that can be shorted at any given time???
that's one of the reasons i said this interview is very very well handled, and i would suspect staging (if i was a really paranoid person. ) however? they do clearly state that they were not caught off-guard by the question didn't they?
the fact that they offer 6% to borrow shares? indicates to me that they have, or are on the verge of having, a lot of failures to deliver...which is also indicated by the fact that this one is on the SHO list now for 13 days...
"this stock is a hard-to-borrow stock"... "pretty unique".. "about a week to move the shares from another broker to an account at schwab " "pretty solid demand" "securities lending fully paid"
"I'm never provided with any reason for why we are lending to any PRIME BROKERS"
-------------------- Don't envy the happiness of those who live in a fool's paradise.
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the reason they are borrowing shares are not to short the stock. They suspect along with the rest of us that the reset is for real, and they can not sell shares now or in the future without pre-comitting to borrowing them ahead of time.
In other words, they are borrowing now at discount prices to sell on the reset for huge gains. They know the deal is real.
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quote:Originally posted by sceptor: Stop and think for a minute.
the reason they are borrowing shares are not to short the stock. They suspect along with the rest of us that the reset is for real, and they can not sell shares now or in the future without pre-comitting to borrowing them ahead of time.
In other words, they are borrowing now at discount prices to sell on the reset for huge gains. They know the deal is real.
they can't "borrow" shares to make money later (theyll just end up with a huge loss). you can "buy" to make money on the reset. my guess is they had to short some to lower their buy in price
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quote:Originally posted by sceptor: Stop and think for a minute.
the reason they are borrowing shares are not to short the stock. They suspect along with the rest of us that the reset is for real, and they can not sell shares now or in the future without pre-comitting to borrowing them ahead of time.
In other words, they are borrowing now at discount prices to sell on the reset for huge gains. They know the deal is real.
AMEN brutha! That is how this trail is looking!!! Go Rufus!
quote:Originally posted by sceptor: Stop and think for a minute.
the reason they are borrowing shares are not to short the stock. They suspect along with the rest of us that the reset is for real, and they can not sell shares now or in the future without pre-comitting to borrowing them ahead of time.
In other words, they are borrowing now at discount prices to sell on the reset for huge gains. They know the deal is real.
sorry, this makes no sense, to me...
Glass: I need to listen again...eg: re Cybertrader? What I heard is they don't even bother, cuz those traders are too active...
-------------------- Nashoba Holba Chepulechi Adventures in microcapitalism...
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posted
well, as I understand it, this *particular program* is for clients with at least 50k shares, who don't trade a lot... Presumably that's the draw: they're just "sitting there," so why not collect interest?
If it were me? I'd ask "Why" When they finally answer, "so somebody can short the stock" I think I'd say, "Hell to da no. I ain't helping somebody [esp. hedgies] short something that I have a long position in."
-------------------- Nashoba Holba Chepulechi Adventures in microcapitalism...
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posted
Can someone sum up what the discussion and argument has been for the past few pages. What are we discussing, and with this short borrowing what does it mean?
-------------------- Disclaimer: Not accountable for anything I say
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posted
One comment on the "Rufas posts"..there are several people that call "him" or Mr. Stanley...next call simply ask..."do you post on Ihub"...I am not sure that he really could post with out some type of legal thing happening...IMO..
-------------------- #1 Rule: Protect your capital! #2 Rule: Never fall for the BS on the boards!
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quote:Originally posted by 10of13: One comment on the "Rufas posts"..there are several people that call "him" or Mr. Stanley...next call simply ask..."do you post on Ihub"...I am not sure that he really could post with out some type of legal thing happening...IMO..
posted
[QUOTE]Originally posted by 10of13: [qb] What are you saying? You believe that it IS RUFAS? and if asked "hey Rufas, do you post on IHUB?"...he will lie?
To be honest I do think it's weird, but what I think is weirder is that Dimension, Street and the others would spend hour after hour BASHING over there. Why would anyone spend that kind of time doing that unless you have some kind of MOTIVE. Just thoughts.
posted
I just got back from Mr. Harris' cookout. I wish that Phil, Bodi, anyone else but me could have gone.....I am way too green to understand all, or even ask the right questions. My wife and I arrived.....cookout had not started yet; probably only 8 or so people there. Mr. Harris met us at our truck and immediately introduced himself. He was very cordial. He spent about 45 minutes with us. Started by taking us through the stalls showing us some of the horses. We then went to his office and spent about 30 mins there. He is an extremely confident man; probably more than anyone I have met, yet he was not at all arrogant. We met his wife and kids and seems to be just as much family oriented as he has said. He told me about the bonds, how he got started, background on BBAN and FHAL....really all the DD that is posted throughout this forum. I asked if the 10K was ready and he said that it had been ready for some time, however, they are still cleaning up messes from the FHAL group (some of the same folks that had been involved with BBAN). He made no bones about taking legal action against them where appropriate and that through CSHD many will pay for how they took investors in the past. I asked whether a 10k, 10k/a, s4 would trigger the reset. He said it will begin when he files the 10K and that he has to have it filed no later than 9/30. He said that $54 is the market price......I asked what the book price was and he did not answer. I asked if he was going to wait until 9/30 and he respectfully stated, "I can't answer that except to say soon." (I had to ask even though I knew his answer!). I pressed as we were leaving about 9/30...again he said I can't say but that it would probably be sooner than that.
I post a picture in a minute...assuming I can......he is a small man, gruff looking, but it is Saturday and he is having a cookout! I was happy to see him as a down-to-earth individual; very confident, very polite. My wife and I were both appreciative of his hospitality during our short visit
posted
He has pictures with rufus on page 479 of cshd thread.. This tells me that it was him on I-hub earlier. He invited shareholders to attend a cookout.
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posted
He said the squeeze is beginning right now......he is waiting on (help me out, can't remember what he called them)....counts from I assume MM's???....I know that is vague, sorry. He is expecting the numbers between Mon and Wed....then he said it would get very interesting.....he said later, make no mistake about it, the squeeze is beginning right now.
quote:Originally posted by 10of13: What are you saying? You believe that it IS RUFAS? and if asked "hey Rufas, do you post on IHUB?"...he will lie?
It is Rufus. That was confirmed quite a while back. It was at time that I was still frequenting the board. The first night he posted he was also answering email that were sent to him. He has posted about setting up a Paltalk and then be on it a few hours later. You don't need to take my word for it you can call and confirm but it is him.
I'm not sure how comfortable I am with him posting on the board but I have encountered other boards that have CEO's posting on them. Mostly it's CEO that seem to be new to the workings of Public companies and are attempting to understand the shareholders. I personally would prefer that the communicate via PR or conference call so that everyone has the opportunity to get the information first hand and at the same time. I'm not sure of the legality that's another issue.
posted
I am trying to get this in my head, if 100 people with 1000 shares have paid up accounts then you have a pool of 100,000 shares to borrow against. Where does the 40% come from? to make it 140%?
Also, the interviewed guy for schwab said this would need to be a program that the stock would be in demand for over a month.
Is he admitting they are borrowing the shares for more than the 3 day settlement window? Naked shorting is the bank letting many banks borrow against the same settled stocks.
If it is a stock with over a 30 day demand window then it would be a stock that has news more than 30 days out, people buying in expectation, if it comes true you have a fall for 30 days + before a run when news arrives. In a pump and dump expectations cause the stock to grow in volume but fall in price, after the window the news does not meet expectations and it falls even more.
In a real stock the bank at some point takes a long position in a pump and dump the borrow and sell shares but take out short positions.
The banks know what is coming all along or they wouldn't run the risk.
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quote:Originally posted by 10of13: What are you saying? You believe that it IS RUFAS? and if asked "hey Rufas, do you post on IHUB?"...he will lie?
It is Rufus. That was confirmed quite a while back. It was at time that I was still frequenting the board. The first night he posted he was also answering email that were sent to him. He has posted about setting up a Paltalk and then be on it a few hours later. You don't need to take my word for it you can call and confirm but it is him.
I'm not sure how comfortable I am with him posting on the board but I have encountered other boards that have CEO's posting on them. Mostly it's CEO that seem to be new to the workings of Public companies and are attempting to understand the shareholders. I personally would prefer that the communicate via PR or conference call so that everyone has the opportunity to get the information first hand and at the same time. I'm not sure of the legality that's another issue.
GLTA Wally
Its got to be him. This fella from HSM went to the cookout less than an hour from his house got pictures came back and posted them.. Really weird. Maybe I should go back to the Silver market LOL
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quote: Many publicly traded securities are not registered under Section 12(g) of the Exchange Act. Investors in such stocks often must make investment and trading decisions without good information regarding the number of outstanding shares and the amount of insider ownership. These conditions increase the need for short interest disclosure in such OTC equity securities. For example, section 16(c) of the Exchange Act forbids short selling by corporate insiders. This salutary rule does not apply to issuers that do not have a class of securities registered under Section 12(g) of the Exchange Act (“non-reporting issuers”). As a result, the market for a non-reporting issuer’s securities may be manipulated downward by corporate insiders who sell short to take advantage of their superior access to information.
When it is legal to short your own stock investors get screwed. Disclosing OS is minor compared to this practice.
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