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ICOP files form 8-K notice of Delisting

ICOP a stock I have been short since news came out that they laid off the entire staff due to lack of cash to pay them filed a form 8-K on Friday according to the information I read on I-Metrix by Edgar online.

It appears that Nasdaq pursuant to Rule 5101 is applying more stringent listing standards to ICOP because it is believed that ICOP may not be anything more than a shell company at this point. It appears also that ICOP does not demonstrate enough confidence to Nasdaq that they will be able to remain an ongoing operation.

My understanding is that this stock may be subject to market abuses and to the detrimental interests of the investing public. This is my second “failing company” trade (although I did sim trade blockbuster as my last test before live trading this setup as I wrote about earlier) and it appears this will be a complete success without an event to save this company.

Lastly from my reading and the last paragraph of the filing is the statement that if ICOP is delisted the stock will not be immediately eligible to trade on the OTC Bulletin Board / Pink Sheets unless a market maker applies to register and quote the stock. I would expect that ICOP will be put to the OTC board but that the price will implode. So I will hold the short into the delisting (assuming it happens) and if the price has not imploded at the open Monday I will short more.

Disclosure: I am short ICOP.