Midway Games added to Stock Exchange’s naked short list

Midway Games Inc., has been added to the NASDAQ, AMEX and NYSE naked short threshold list today according to a release from BuyIns.net, a service designed to help bona fide shareholders of publicly traded US companies fight naked short selling.

According to Investopedia, the threshold list is “daily public accounting of market settlement system failures (or ‘fails’) published by the National Securities Clearing Corporation in compliance with SEC regulations. A market settlement failure occurs when delivery on a security is not made within the alloted settlement period.” Being on the “naked short list” means one of the parties involved has tried to sell stocks or shares that may not exist.

Midway was first accused of failing to deliver its shares (NYSE: MWY) in November 2007. According to the BuyIns report, 92.14 million shares of MWY are still undelivered with 2.51 million shares declared short. At $2.80 per share, Midway’s stocks have changed by 0.19 per share which is a 6.35 percent drop.

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