NanoPierce Technologies, Inc. Files Complaint Against The Depository Trust and Clearing Corporation, The Depository Trust Compan
18 Agosto 2004 - 4:56PM
PR Newswire (US)
NanoPierce Technologies, Inc. Files Complaint Against The
Depository Trust and Clearing Corporation, The Depository Trust
Company and The National Securities Clearing Corporation DENVER,
Aug. 18 /PRNewswire-FirstCall/ -- NanoPierce Technologies, Inc.
(OTC:NPCT) (BULLETIN BOARD: NPCT) , announced today that it has
filed a complaint against The Depository Trust and Clearing
Corporation (DTCC), The Depository Trust Company (DTC) and The
National Securities Clearing Corporation (NSCC) in the Second
Judicial District Court, County of Washoe, State of Nevada. The
company is the creator of NanoPierce Technologies' NCS(TM) -- an
advanced system designed to provide significant improvement over
conventional electrical and mechanical interconnection methods for
high-density circuit boards, components, sockets, connectors,
semiconductor packaging and electronic systems. NanoPierce is
represented by the law firms of O'Quinn, Laminack & Pirtle,
Christian Smith & Jewell, and Heard, Robins, Cloud, Lubel &
Greenwood, LLP, all of Houston, Texas and Michael J. Morrison, Esq.
and Lionel Sawyer & Collins, both of Reno, Nevada. Attorney
Sean Greenwood said: "We believe that the dramatic devaluation of
NanoPierce stock would not have occurred were it not for the
actions of the defendants as described in the complaint." The
complaint alleges that the DTCC, DTC and NSCC acted in concert to
operate the Stock Borrow Program, originally created to address
short term delivery failures by sellers of securities in the stock
market. According to the complaint, the Defendants conspired to
maintain significant open fail deliver positions of millions of
shares of NanoPierce stock for extended periods of time by using
the Stock Borrow Program to cover these open and unsettled
positions. By permitting shares of NanoPierce to be borrowed
through the Program, the complaint continues, the Defendants
allegedly jointly conspired to drive down the price of the stock.
The complaint also alleges that the operation of the Program
allowed the manipulation of NanoPierce stock by various sellers who
failed to deliver NanoPierce shares. By covering open fail to
deliver positions with shares borrowed through the Stock Borrow
Program and delivering borrowed shares to the buyers, the complaint
contends that the Defendants artificially created unregistered,
free trading NanoPierce shares and increased the supply of
NanoPierce shares in the marketplace. The complaint further alleges
that there is little incentive for the Defendants to cure fail to
deliver positions because the Stock Borrow Program has become a
reliable source of income for the Defendants. Paul Metzinger,
President, CEO and Director of NanoPierce said: "We, our
shareholders and the trading public at large relied on the DTC and
the NSCC to properly account for the purchase and sale of
NanoPierce shares. Their mishandling of these shares and the
misrepresentation that resulted are inexcusable." Lead attorney
John O'Quinn commented: "Our team will not stop until justice has
been served and restitution secured for NanoPierce and its
shareholders." DATASOURCE: NanoPierce Technologies, Inc. CONTACT:
Ivan Kronenfeld, +1-212-448-9141, or , for NanoPierce Technologies,
Inc.
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