JC Data Solutions, Inc. (OTC: JCDS) announced that they are taking steps to combat illegal trading activities and will commence the process to conduct share counts of their securities.
The company attained evidence that certain brokers may have issued phantom shares, and according to the NASDAQ Regulation SHO Threshold List, JCDS has been listed for over forty days, confirming that stock manipulations have taken place.
Cary Allen, CEO of JC Data Solutions, Inc. stated, “Our intentions with this announcement are not to alarm our investors but to inform them that we are aware of the likelihood of stock price manipulation involving JCDS stock. Our business continues to grow with a recent adding of two new resellers; one in the northeast (TMG Documents) and one in Texas (Lone Star Marketing Company). Considering we are a non-reporting company, proper release of revenue figures cannot occur at this time but virtually all areas of our business have shown increased revenues over the last year as well as our overall debt and overhead have remained low.”
He continued, “This all being said we see no reason for our price per share to remain at this low level and we intend to take the necessary action to protect our shareholders from what we believe to be manipulation or our stock price. Our first priority is to become Pink Sheets Current; we have stepped up the filing process and expect to have it complete shortly. We are also engaging in council to begin proper accounting procedures of JCDS stock and how to handle the evidence of short selling.”
“This rule proposal will help protect and enhance the operation, integrity and stability of the markets in the clearance and settlement system, and also puts market participants on notice that the Commission will continue targeting abuses in this area,” commented Erik Sirri, Director of the SEC’s Division of Trading and Markets.
JC Data Solutions is an ACH service provider and manufacturer of data management systems and services. The company targets the healthcare, attorney, and the oil and gas industries.
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