ONTARIO, CA and LOS ANGELES, CA / ACCESSWIRE / February 23, 2023 / Focus Universal Inc. (NASDAQ:FCUV) ("Focus" or the "Company"), a provider of patented hardware and software design technologies for Internet of Things (IoT) and 5G, is pleased to announce that it has hired former SEC Enforcement attorney Mark David Hunter to review potential violations of the laws by entities and individuals engaged in the unlawful naked short selling activities and market manipulation of the Company's stock. Mr. Hunter will counsel the Company regarding potential litigation against those engaging in or facilitating the illegal short selling, as well as a potential referral to the U.S. Securities and Exchange Commission through its Whistleblower Program. This is part of the Company's larger set of action plans and resolutions approved at the management and Board to address what might be a pervasive problem of illegal naked short selling of its stock.
Based on preliminary investigations, the Company has approximately 3 million shares which are tradable and were sold into the market, most of these shares are currently locked up. Although the Company did not have any institutional holdings before August 31, 2021, institutional investors currently hold more than 6 million shares with current non-institutional investors holding more than 2 million shares. Figures also show that approximately 6 million shares have been sold short, which represents approximately 200% of the publicly tradable shares in the float. Furthermore, the Company understands that many of its long-term investors hold their shares in a cash accounts which means their shares can not be borrowed for short selling. A review of this data lends strong support to the notion that the Company has been the target of naked short selling.
As part of the Company's larger goal of reducing naked short selling activity in the Company's stock, the Company has retained Mr. Hunter due to his experience in investigating and prosecuting violations of the federal securities laws, rules, and regulations. Along with the previously mentioned assistance of Shareholder Intelligence Services, LLC ("ShareIntel"), the Company is able to monitor trading activity, including broker-dealers, clearing firms, and shareholder position management. This data, along with our legal counsel will identify, investigate, and prosecute any bad actors exhibiting suspicious, aberrant, and or unusual trading activity, and implement action to protect investors from illegal naked short selling. Focus also plans to further and continue investor communication as of part of action plans to combat the potential unlawful market manipulation and naked short selling activities.
About Mark David Hunter
Mark David Hunter manages Hunter Taubman Fischer & Li LLC's (HTFL) Coral Gables, Florida office. He oversees the Regulatory Enforcement and Investigations, White Collar Defense, Securities Litigation, Commercial Litigation, and Governmental Investigations practice groups, and works with the firm's Investment Management and China Practice groups. He also serves on the NASDAQ's Listings Qualifications Panel by appointment from the NASDAQ's Board of Directors, and is currently an Adjunct Professor of Law at Florida International University's (FIU) College of Law where he teaches courses in (1) SEC Investigations and (2) White Collar Crime. Prior to HTFL, Mr. Hunter held previous positions at (1) the U.S. Securities and Exchange Commission, (2) the U.S. Army Reserve Judge Advocate General Corps., (3) the Kings County District Attorney's Offices's Rackets/Economic Crimes Division, (4) Bear Stearns Securities Corp., and (5) United States Army where he was awarded several medals for his honorable service.
About Focus Universal:
Focus Universal Inc. (NASDAQ: FCUV) is a provider of patented hardware and software design technologies for Internet of Things (IoT) and 5G. The company has developed five patented technology platforms with 26 patents and patents pending in various phases and 8 trademarks pending in various phases to solve the major problems facing hardware and software design and production within the industry today. These technologies combined to have the potential to reduce costs, product development timelines and energy usage while increasing range, speed, efficiency, and security. Focus currently trades on the Nasdaq Global Markets and is in the Russell 2000 Index.
Statements in this press release about future expectations, plans and prospects, as well as any other statements regarding matters that are not historical facts, may constitute "forward-looking statements" within the meaning of The Private Securities Litigation Reform Act of 1995. The words "anticipate," "believe," "continue," "could," "estimate," "expect," "intend," "may," "plan," "potential," "predict," "project," "should," "target," "will," "would" and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including: the uncertainties related to market conditions and the completion of the public offering on the anticipated terms or at all, and other factors discussed in the "Risk Factors" section of the preliminary prospectus filed with the SEC. Any forward-looking statements contained in this press release speak only as of the date hereof and Focus Universal specifically disclaims any obligation to update any forward-looking statement, whether as a result of new information, future events or otherwise.
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SOURCE: Focus Universal Inc.
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