Category: Reddit Stocks (Page 2 of 28)

Massive Concern in MMTLP Now Surges According to New Letter

Massive concern in MMTLP now surges according to a new letter sent out to the SEC and FINRA with over 70 co-signatures from Congress.

“Over 70 co-signers on my letter this morning to FINRA and the SEC concerning #MMTLP – Meta Materials Series A preferred shares,” reported Rep. Ralph Norman on X last Friday.

“We write to request that the Financial Industry Regulatory Authority (FINRA) and the Securities and Exchange Commission (SEC) review events surrounding Meta Materials Series A preferred shares (MMTLP),” the letter read.

“As you know, MMTLP was created during a merger between Meta Materials (MMAT) and Torchlight Energy Resources (TRCH) to provide preferred stock dividends to TRCH shareholders.

MMTLP shares began trading on the OTC market in 2021. In the summer of 2022, the SEC received and subsequently approved a Form S-1 and amendments to spin-off a portion of the company, Meta Materials, into a new company, Next Bridge Hydrocarbons (NBH).

On December 9, 2022, FINRA issued a U3 halt on trading in the company’s stock, preventing shareholders from making further trades.

Since the halt, constituent investors have contacted Members of Congress regarding the spin-off transaction and the subsequent halt on trading. Specifically, we have received more than 40,000 letters from concerned investors,” the letter stated.

Many of our constituents have concerns regarding the circumstances surrounding the U3 halt and level of short selling in MMTLP.

As you know, the securities industry is regulated by a disclosure-based regime, and transparency is paramount to FINRA’s and the SEC’s goals of protecting investors and ensuring market integrity.

We believe it is appropriate that FINRA and the SEC review these market events and determine what, if any, wrongdoing may have occurred in order to dispel misinformation and properly safeguard investors.”

Now Congress is requesting for the following questions to be answered by regulators:

NOTE: Several FrankNez reports on the MMTLP scandal have now been acknowledged by the Congressional Research Service.

Congress Requests Answers From Regulators Regarding MMTLP

Market News Today - Massive Concern in MMTLP Now Surges According to New Letter.
Market News Today – Massive Concern in MMTLP Now Surges According to New Letter.

Congress members are requesting the following questions to be answered from regulators by no later than January 31, 2024:

  1. Provide a timeline of trading of MMTLP on the OTC markets; the actions taken by the SEC, self-regulatory organizations, the issuers, the transfer agent, and any other relevant parties during the time MMTLP was traded; and the transaction that produced Next Bridge Hydrocarbon shares.
  2. The Former CEO of Torchlight Energy Resources stated that “MMTLP was never designed to trade.” Please provide a detailed explanation, including the relevant statutory authority and procedures, that allowed for MMTLP shares to trade on the OTC market.
  3. Provide the relevant statutory authority, jurisdiction, and adherence to established industry standards regarding the U3 trading halt of MMTLP issued on December 9, 2022.
  4. Provide the exact date and circumstances surrounding FINRA’s determination to implement the U3 halt, including all unredacted communications between FINRA, SEC, governmental agencies, any outside organizations, FINRA members and non-FINRA members, and any other individuals. Also include all information surrounding the SEC or FINRA’s knowledge of the share price in any public or non-public exchange before issuance of the U3 halt.
  5. Provide the first date and time that FINRA or its agents advised any market participant in any manner that MMTLP would no longer trade on December 9, 2022. Include any relevant documents or communication.
  6. Did FINRA issue a Blue Sheet request for MMTLP during the period of October 2021 through December 2022? Why or why not?
  7. How many questions, complaints, and/or inquiries have you received regarding MMTLP?
  8. Provide the statutory or legal justification used by the SEC and FINRA to ignore public requests and congressional inquiries regarding MMTLP.
  9. Provide the delivery of a certified audited and consolidated count of shares that were held by all U.S. and foreign financial institutions, together with their clearing firm counterbrokers including trades not reported in the consolidated audit trail (CAT), related to MMTLP on the date of December 12, 2022. Please include all shares/holdings of long and short positions, as well as IOUs held by each participating broker and market participant as record owner, beneficial owner, or in any other capacity (each reported separately) including but not limited to: all shares registered at AST, all shares held in U.S. broker dealers, all shares held offshore that were traded and never settled through the appropriate clearing channels, and the ability to provide the location associated with each short position identified above.
  10. Have all MMTLP shareholders received their NBH shares?
  11. In your view, did MMTLP investors knowingly enter into a risk-taking transaction with full understanding of material information and without misleading guidance from social media or elsewhere? For example, the SEC has charged social media influencers with manipulation schemes in the past.
  12. In your view, are there better ways to provide transparency and clarity regarding risk disclosures that could enhance market integrity and reduce market disruptions? For example, retail investors and experts (e.g., OTC Markets Group’s vice president) were reportedly confused about MMTLP’s final trading date. As such, investors may not have been able to optimize their investment decisions.
  13. Do you have evidence to suggest the existence of fraud and manipulation related to MMTLP transactions, such as illegal forms of naked shorts and counterfeit shares, that could distort the market?
  14. Have you seen any indications of insider trading and/or pump and dump related to MMTLP transactions?
  15. Are your organizations willing to work with NBH to determine a resolution for existing shareholders? For example, some investors have expressed concern that, even though their brokerage account statements include shares of NBH in their account, these shares may not have actually been delivered to their broker-dealers.
  16. Identify any regulatory or legislative gaps that should be addressed to ensure the SEC, FINRA, and other regulated entities may better protect investors and strengthen market integrity.

This is a developing story – for more market news and updates like this, follow me on X: @FNez_Blogger.

Also Read: Gary Gensler is Now Dodging MMTLP Inquires From Congress

Market News Published Daily 📰

Market News Today - Massive Concern in MMTLP Now Surges According to New Letter.
Market News Today – Massive Concern in MMTLP Now Surges According to New Letter.

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Scroll below to view my stock purchases this month!

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Frank Nez’s Stock Portfolio

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11/16/2023 – Today I invested $1,000 in two different stocks for a brand new stock dividend portfolio I am creating for 2024.



Massive Banks Are Now Getting Fined For Illegal Short Selling

Two massive banks are now getting fined for illegal short selling (naked short selling), according to a new Bloomberg report.

South Korea regulators are seeking $7.67 million each from HSBC and BNP Bank for naked short selling, people familiar with the matter told media outlets.

The five-member commission led by Financial Services Commission (FSC) Vice Chairman Kim So-young discussed the fines during a meeting on Wednesday but could not reach a conclusion, the report said, adding that the final amount may change during discussions later.

Naked short-selling of stocks – in which an investor short sells shares without first borrowing them or determining they can be borrowed – unlike in the United States, is banned by the Capital Markets Act in South Korea.

“We are investigating financial companies involved in naked short-selling, but we cannot comment whether fines have been finalized,” an FSC official said.

Last month, South Korea reimposed a full ban on short-selling until the end of June 2024 to create a “level playing field” for retail and institutional investors.

In the United States, several petitions have been shared online in efforts to ban short selling as well.

Unfortunately, naked short selling in the U.S. continues to be a big problem.

In September, Citadel Securities was charged for illegal short selling violations by the SEC.

According to the SEC’s order, for a five-year period, it is estimated that Citadel Securities incorrectly marked millions of orders, inaccurately denoting that certain short sales were long sales and vice versa.

“Compliance with the order marking requirements of Reg SHO is a key component of regulatory efforts to curtail abusive market practices, including ‘naked’ short selling,” said Mark Cave, Associate Director of the SEC’s Division of Enforcement.

Share this article on X.

Also Read: “The Game is Rigged”, Says Ex-Citadel Data Scientist

Other Market News Today

Market News Today - Massive Banks Are Now Getting Fined For Illegal Short Selling.
Market News Today – Massive Banks Are Now Getting Fined For Illegal Short Selling.

A new company now seems to be targeted by naked shorts, at least that’s what a CEO and former AMEX Vice President are alleging.

Collective Audience (CAUD) stock has had a rather steady share price since 2021.

Shares of the advertising company rose to more than $27 per share on Wednesday, October 25th before getting halted and crashing to its current $1.20 levels.

CEO Brent Suen has since purchased 190,000 shares of CAUD stock but claims there seems to be a high probability of fraud at play here.

“NASDAQ halted trading on October 25 due to a non-qualified float below 500,000 shares.

However, on Nov 3 and 6 the float was still 61,000 shares and the price had fallen from $27 to $5.31 down 80%.

NASDAQ did not halt the stock during that time,” Suen told Frank Nez.

Collective Audiences’ partners are now on the radar as suspects, though an official investigation has yet to be announced by the company.

One scenario states that CAUD’s partners may have sold company shares at the top and began shorting the company as prices began to plunge, causing further devaluation.

The second scenario sheds light on the possibility of naked short selling.

The CEO has a strong concern that hedge funds may have collectively shorted the company ‘naked’ after the surge on October 25th.

Tony Forte, former Vice President of the Trading Analysis Division at AMEX reached out to Frank Nez to confirm irregularities in the trading of Collective Audience stock.

“Over the last few years I have closely followed the trading activity in LGIQ, prior to and after the spinoff of DataLogiq into the Arbi SPAC.

I strongly believe at least two thirds of the floating supply is held by shareholders who have no intention of selling any of their shares until CAUD is trading at much higher prices. That conclusion would reduce the current floating supply to under 1.2 million shares.

The substantial and continuous selling in CAUD appears to be the result of computerized trading based on sell side algorithms accompanied by short selling, most likely naked, by marketmakers and large investors,” Forte shared with Frank Nez.

“The computerized trading was particularly evident on December 7th:  At 10:10 am, the last sale in CAUD was 2.10.

From 10:10 through 10:15 the stock decline to 1.82, down 28 cents, on trading volume of 113,995 shares. During that five minute time span there were 576 trades.

Although the short activity, reported by FINRA, during the October 25 through December 11th period was only between 25-30% it would still indicate that 11-12 million shares were sold short.

In order for the algorithm computerized trading to show a profit in CAUD, which has a very small  float, there would have to be at least 4-5 firms utilizing that strategy. That raises the question of “working in concert”.”

CAUD stock is currently down more than -88% this year-to-date.

This is a developing story — for more updates on CAUD and other stocks, follow me on X: https://twitter.com/FNez_Blogger.

Also Read: MULN Stock: 5 Billion Shares in Illegal Scheme Now Confirmed

Market News Published Daily 📰

Market News Today - Massive Banks Are Now Getting Fined For Illegal Short Selling.
Market News Today – Massive Banks Are Now Getting Fined For Illegal Short Selling.

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Scroll below to view my stock purchases this month!

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Frank Nez’s Stock Portfolio

Wondering which stocks Frank Nez is holding? Which stocks is Frank Nez buying?

Frank Nez is now sharing his exclusive and personal stock portfolio with readers, only on the Patreon.

11/16/2023 – Today I invested $1,000 in two different stocks for a brand new stock dividend portfolio I am creating for 2024.



Ken Griffin Now Makes Surprising Claims Confirming Illegal Manipulation

Ken Griffin now makes surprising claims confirming the illegal manipulation that retail investors have been raising awareness about for years.

“Markets are efficient because of active managers setting the prices of securities,” says Citadel Securities’ Ken Griffin.

This prompts the big question, does supply and demand matter? And is it even real?

For years now, retail investors have alleged that market makers and hedge funds have the full control of where prices go.

Dark pools have allowed institutions to keep a big percentage of retail money from displaying in the lit market.

Naked shorts have allowed institutions to suppress the buying pressure of a stock, driving prices down.

And the media, unfortunately doesn’t report this.

“Firms like Citadel, firms like Fidelity, firms like Viking Global, Capital Research, we’re all running large teams of people that are engaged in fundamental research trying to drive the value of companies towards where we think they should be valued,” says Griffin.

If market makers and hedge funds have the ability to decide what the stock price of a company should be, then this annihilates the market’s integrity when hedge funds such as Citadel have a dark history of market manipulation.

In September, Citadel was charged for illegal short selling violations by the SEC after incorrectly marking short sales as long sales for the duration of five years.

“Compliance with the order marking requirements of Reg SHO is a key component of regulatory efforts to curtail abusive market practices, including ‘naked’ short selling,” said Mark Cave, Associate Director of the SEC’s Division of Enforcement.

“This action against Citadel Securities demonstrates that a broker-dealer’s failure to comply with the requirements of Reg SHO can have negative downstream consequences on the accuracy of the firm’s electronic records, including its electronic blue sheet reporting, depriving the Commission of important information about the markets it regulates.”

Should firms, such as Citadel, have total control of pricing the market?

Or is this is a direct violation of the laws of supply and demand?

Leave your thoughts below — share this article on X.

Also Read: “The Game is Rigged”, Says Ex-Citadel Data Scientist

Other Market News Today

Market News Today - Ken Griffin Now Makes Surprising Claims Confirming Illegal Manipulation.
Market News Today – Ken Griffin Now Makes Surprising Claims Confirming Illegal Manipulation.

SEC Chair Gary Gensler now takes an unexpected stance against hedge funds in his latest interview with CNBC.

The Chairman, who’s been heavily criticized by retail investors for failing to create real change in the market, is making it clear on just how important short selling transparency truly is.

For years now, the hedge fund industry has been fighting against the SEC’s new rules which would require more disclosure of short sale transactions, Citadel Securities included.

The SEC approved new rules in October related to short selling.

The first rule required certain fund managers to report their short sales to the SEC within 14 days at the end of the month.

The second rule requires that financial companies that facilitate securities loans disclose information about those transactions to FINRA on a daily basis.

“Remember the events around GameStop nearly three years ago?” Gensler said.

“We have a lot of transparency in the long side, let’s add transparency to the short side that Congress mandated.”

SEC Commissioner Jaime Lizarraga stated in October that securities lending facilitates illegal trading.

“As with securities lending, short sales, provided they are conducted in compliance with applicable rules, can play a valuable price discovery role in our capital markets.

That said, they can sometimes contribute to, or even cause, precipitous price declines, facilitate market manipulation, and generate market uncertainty and volatility”, the Commissioner said.

Now Gary Gensler is pushing short sale transparency.

“Congress weighed in after the financial crisis and mandated that the SEC address and have rules for transparency around short selling for investment managers,” he said in an interview with CNBC on Thursday.

“I got to the agency nine years later and the agency had not done a congressional mandate. I’m very proud we took it up.”

This is a developing story.

Also Read: South Korea Regulators Now Probe Into Illegal Short Selling

Market News Published Daily 📰

Market News Today - Ken Griffin Now Makes Surprising Claims Confirming Illegal Manipulation.
Market News Today – Ken Griffin Now Makes Surprising Claims Confirming Illegal Manipulation.

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Also, thank you to all of our blog sponsors.

This year we’ve been able to increase push notifications slots making it more convenient than ever for new readers to receive their daily market news and updates.

Scroll below to view my stock purchases this month!

You can also follow me on X (Twitter)InstagramFacebook, or LinkedIn for daily news and updates on your favorite stories.


Frank Nez’s Stock Portfolio

Wondering which stocks Frank Nez is holding? Which stocks is Frank Nez buying?

Frank Nez is now sharing his exclusive and personal stock portfolio with readers, only on the Patreon.

11/16/2023 – Today I invested $1,000 in two different stocks for a brand new stock dividend portfolio I am creating for 2024.



MULN Stock: 5 Billion Shares in Illegal Scheme Now Confirmed

Christian Attar Law Firm, who is investigating MULN stock, says approximately 5 billion shares in an illegal scheme has now been confirmed.

The firm in partnership with Warshaw Burstein, LLP, in association with forensic investigators, have concluded the magnitude of the spoofing is unprecedented, resulting in over 5 billion shares being issued at artificially deflated prices since Company’s Nasdaq debut in November 2021.

Mullen Automotive, a startup EV company, has been one of the few companies to raise awareness on the predatorial short selling practices seen in its stock.

MULN stock is currently down more than -99% this year-to-date.

On Wednesday, December 6, Mullen Automotive announced the Company has filed a complaint in the United States District Court for the Southern District of New York alleging that UBS Securities, LLC, IMC Financial Markets and Clear Street Markets, LLC (the “Defendants”) engaged in a market manipulation scheme that violated Section 10(b) and Rule 10b-5(a) and (c) and Section 9(a) of the Securities Exchange Act of 1934.

This lawsuit alleges that between Nov. 9, 2021, and Nov. 9, 2023, the Defendants and/or their customers used spoofing to manipulate the market price of Mullen shares.

“FINRA has characterized spoofing as an insidious form of market manipulation that undermines the transparency and integrity of the markets by distorting the true nature of supply and demand,” the company statement said.

“Spoofing involves the submission and cancellation of non-bona fide buy and sell orders that have no legitimate economic purpose and are not intended to be executed.

The actual purpose of these orders is to trick shareholders into placing their own orders at a time, price and quantity that they otherwise would not have.”

“In the 21 years our team has been prosecuting market manipulation cases against Wall Street, I believe this could be one of the largest and strongest spoofing and market manipulation cases we have handled,” said Wes Christian of Christian Attar Group.

“After working with our consulting and investigative experts, I believe the damage model could be in the billions of dollars.”

This is a developing story — share this article on X.

Also Read: Mullen Provides New Update on Vehicle Production and Deliveries

Market News Published Daily 📰

Market News Today - MULN Stock: 5 Billion Shares in Illegal Scheme Now Confirmed.
Market News Today – MULN Stock: 5 Billion Shares in Illegal Scheme Now Confirmed.

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Also, thank you to all of our blog sponsors.

This year we’ve been able to increase push notifications slots making it more convenient than ever for new readers to receive their daily market news and updates.

Scroll below to view my stock purchases this month!

You can also follow me on X (Twitter)InstagramFacebook, or LinkedIn for daily news and updates on your favorite stories.


Frank Nez’s Stock Portfolio

Wondering which stocks Frank Nez is holding? Which stocks is Frank Nez buying?

Frank Nez is now sharing his exclusive and personal stock portfolio with readers, only on the Patreon.

11/16/2023 – Today I invested $1,000 in two different stocks for a brand new stock dividend portfolio I am creating for 2024.



A Bankrupt Retailer Is Now Making A Massive Comeback

A bankrupt retailer is now making a massive comeback according to an executive who’s company took it over.

Overstock.com, which now owns Bed Bath & Beyond says plans are on the works for a much bigger and bolder company.

The company has bet its future on the Bed Bath & Beyond brand after it declared Chapter 7 bankruptcy, and has even rebranded under its name.

The company’s chief executive, Jonathan Johnson says “Over the last three months, we have accelerated our efforts to build the company with a bigger, brighter, bolder future.”

“On June 28, we acquired the Bed Bath & Beyond brand and IP, a brand ranked in the top five most recognizable home brands in the United States, alongside titans like Target, Walmart, and Home Depot.

“Within hours of closing the deal, we revived the brand in Canada, and in just 33 days we launched the brand in the U.S. under our unique asset-light [ digital without stores] operational model,” he continued.

Johnson explained that Overstock had actually considered buying Bed Bath & Beyond “just a few years ago,” however, that purchase would have cost the company roughly $2 billion contrary to the $175 million they acquired it for.

Explaining why the deal was a steal, the Chief Executive stated the following:

“First, the No. 5 most recognizable brand in the home space and as an aside in that same ranking Overstock was No. 25; second an over 100 million person customer file; third, vendor relationships with some of the biggest home category brands in the world; and fourth, valuable intellectual property.”

“Earlier this week, we announced our new corporate name Beyond. This new corporate identity builds on the value of our iconic consumer brand. It also recognizes our ability to transform into more than just a single-brand e-commerce retailer,” he said.

Other Economy News Today

Market News Today - A Bankrupt Retailer Is Now Making A Massive Comeback.
Market News Today – A Bankrupt Retailer Is Now Making A Massive Comeback.

A massive Walmart now unexpectedly closes and liquidates its inventory at 75% off in Connecticut.

“A recent surprise announcement of yet another 2023 Walmart store closure, this one a location in Norwalk, Connecticut, has led customers to enthusiastically take advantage of the store’s current liquidation sale,” reports Joel Eisenberg.

The store, located at 680 Connecticut Avenue is closing on November 3rd.

“There are 4,623 Walmart stores in the United States as of October 16, 2023“, reports ScrapeHero.

According to an October 28th report from The-Sun, a large percentage of the store’s inventory, such as fresh groceries, has already sold out.

The company promised jobs will be available at other locations for any of the 255 workers who wish to remain with the company.

The company is currently listing approximately 280 positions in Connecticut.

“We are grateful to the customers who have given us the privilege of serving them at our Connecticut Avenue location,”  stated Walmart spokesperson Felicia McCranie, in an email to CT Insider

Residents on the other hand are not as thrilled.

“I’m here all the time, so it’s definitely a little bit frustrating,” said Missy Dye Radin, a Norwalk resident who was shopping for schools supplies for her son.

“It’s definitely going to be a loss for the community, I think, because you are just limited about where you can go.”

On Connecticut Avenue, Target surfaced earlier this year as a potential replacement tenant, but has yet to confirm it is moving ahead with the store in response to CT Insider queries.

“Target is more expensive,” Radin said. “You can get everything you need for your house, but I just feel like you’re getting a better value at Walmart.”

Also Read: A US Company Now Declares An Unexpected Bankruptcy

Market News Published Daily 📰

Market News Today - A Bankrupt Retailer Is Now Making A Massive Comeback.
Market News Today – A Bankrupt Retailer Is Now Making A Massive Comeback.

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