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src123 - Wed, 04 Jan 06 :



Holdontight - 4 Jan'06 - 10:20 - 39792 of 39796


Response from my broker....any comments?.....

As your email below covers some old ground, I can only presume that my earlier answers weren't unambiguous. I will therefore set out this response as clearly as possible.

(1) When you buy shares, you contract to pay for them and the Market Maker contracts to deliver them. Both sides have honoured their part of the bargain. There is accordingly no issue whatsoever with non-delivery of your shares and you have no cause for issue with the Market Makers.

(2) Your proof of purchase and settlement is your contract note. Please note the settlement date therein.

If you have a nominee account the trade will settle electronically and as such the market makers will not have to deliver the actual shares until they are good and ready. With a certificate account the market makers obviously have a duty to provide the certificates within a reasonable time scale. It is becoming apparent that the people with certificate accounts are not receiving their shares for any of the trades they did in LGB just prior to suspension. The LGB crest account was not disabled for some time following suspension so the market makers have had good time to deliver certificates if indeed they are saying that the trades have settled. Everyone is suspecting that the market makers are short and that is the reason why they will not deliver. If what your broker says is true it seems that they are contradicting themselves when they say " you contract to pay for them and the market maker conracts to deliver them". In that case call their bluff by rematerialising your electronically held stock and have them 'deliver' them.


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