The FINRA-MMTLP Blue Sheet Motion Has Now Been Dismissed
The FINRA-MMTLP blue sheet motion has now been dismissed by a judge in the Supreme Court of New York City for allegations deemed as “speculative and conclusory”.
FINRA has denied providing the MMTLP blue sheets in the latest court update by Mark Basile.
The court has denied the motion and has dismissed the petition.
“$MMTLP our clients petition for the production of Blue Sheets has been denied. Will follow up soon.
Disappointed and DISAGREE,” said Mark Basile on social media.
“Petitioner does not point to any alleged misrepresentation, nor does he allege any justifiable reliance.
Further, the Petition does not allege any particularized damages, and
Petitioner relies on conclusory and unsupported allegations only, asserting that he suffered financial harm as a result of the “illegal” trading of MMTLP shares.
Courts have also consistently denied pre-action disclosure pursuant to CPLR § 3102(c) when the petition is based on speculation and suspicion.
Here, the allegations and arguments in the Petition are speculative and conclusory.
For example, a drop in stock price is not necessarily caused by illegal activity, but Petitioner believes that the unidentified brokers are responsible in some manner for the precipitous drop of MMTLP’s stock price.
The Petition is therefore an improper fishing expedition, and the Petition must be denied“, the court filing read.
FINRA Claimed Immunity in MMTLP Court Motion
The self-regulatory body claimed immunity and refused to provide retail investors with the blue sheets that shed light on the trading activity and fraud that occurred in ticker symbol MMTLP prior to the U3 halt and delisting.
FINRA stated that the petitioner’s request is ‘overbroad and unduly burdensome’, being one of the few claims to deny MMTLP investors the blue sheets.
They also state that blue sheet data may reveal the confidential trading approach of firms and their customers, and includes personal, financial, and identifying information for individual and other investors.
“Because Blue Sheet Data contains highly confidential information, FINRA does not make Blue Sheet data publicly available.
FINRA also restricts access to Blue Sheet Data collected by examination and investigations team.”
SEC Chairman Gary Gensler often speaks about the remarkable importance of blowing the whistle in cases like this, where fraud can only be fought from the inside.
According to the latest MMTLP court case documents, FINRA is granted absolute immunity from suit and all burdens of litigation, including discovery, “for claims arising out of its regulatory activities.”
What seems to have happened here is a lack of interest or attempt at digging deeper into the MMTLP situation.
In cases like this, it’s much easier to dismiss a motion rather than to go down a time-consuming and rather expensive rabbit hole.
The Fight is Not Over for MMTLP Investors
Regulators as well as the governing body might have failed MMTLP investors, but the fight is not over yet.
Change, reform, and demand can still happen in other areas of the system in order to prevent future investors from devastating losses due to fraud and illicit activities from these institutions above the law.
Investors must take into serious account who gets voted into office — Congressmen in favor of fair markets, or those who oppose market transparency.
To look at what’s in one’s control over what isn’t is a start.
FINRA claims the delisting of MMTLP was an order by the companies who agreed to distribute private shares of a non-tradable security.
Should investors look further into Next Bridge Hydrocarbons or Meta Materials in this case?
When one door closes, it’s merely redirection.
You can read the full MMTLP story here.
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