The naked shorts just get catorized as "fail to deliver." Then when the Exchange starts to press them, they change names until the next time,. I knew guys on a n Exchange that traded without money, they just kept changing member names. These naked guys know they are crooks but as long as no clearing house representative challenges them in their practices, the scam just continues. My take of the regulators is, they're nice to these guys at the investment banks for their next job will be with them and the contacts they bring along with them.

It's an old story, show me the money.