Search articles from thousands of Examiners
Write for us
Minneapolis Business and Finance

Business News

Locatestock.com Steps Up Prohibition of 'Naked' Short Selling of AIG Stock; Firm Moves to Block Illegal Activity and Add Protection

Distributed by Press Release

NEW YORK (Map) - NEW YORK, March 18 /PRNewswire/ -- John Tabacco, Chairman of Locatestock.com, the industry leader in real time dynamic Stock Locate capabilities, announced today that it has taken proactive measures to ensure that any short sales executed in the stock of AIG will only be approved through the Locatestock.com platform if there is a bona fide pre borrow agreement in place prior to the approval and execution of the short sale.

During this financial crisis, given the importance of financial institutions to the broader economy, Mr. Tabacco today announced that "In the current climate of uncertainty, and questions regarding the stability of AIG and its capital structure, it seems appropriate to us that we should use all means legally available to us to insure that inappropriate and illegal short-selling activity is not used to exacerbate the problems already being faced by AIG and potentially other financial service company stocks."

Former SEC Chairman Harvey Pitt joined Mr. Tabacco in adding "This initiative by Locatestock.com reflects the very best approach the securities industry can take to the problems of abusive market activities. I hope that others will join in this initiative, to prevent the erosion of market values based solely on abusive short-selling activities." Mr. Pitts firm, Kalorama Partners LLP, has combined with Locatestock.com to create LendEX an electronic platform for the lending and borrowing of equity securities.

About Locatestock.com

Through its innovative and leading global platforms, Locatestock.com has introduced solutions to the trading community that allow real time dynamic Stock Locate capabilities, while providing its customers with all the critical data required by the SEC's Regulation SHO. The Locatestock.com "MATADOR" platform locates in excess of 3 billion shares monthly for legal short sellers and the Locate volume handled daily by the MATADOR platform is equivalent to 15% of the NYSE and NASDAQ volumes combined.

pr