Ming the Mechanic:
The little guy versus Cede & Co

The NewsLog of Flemming Funch
 The little guy versus Cede & Co2003-12-16 18:20
28 comments
picture by Flemming Funch

Remember DTC, the little known 20 trillion dollar company that holds most stocks in the world in the name of its subsidiary "Cede & Co"? Well, this fellow just found out about them when he was trying to locate $600 worth of stocks he thought he owned, after he was told that they had been transferred to Cede & Co. And he actually called them up, trying to get some answers. Without very much luck, as he's just an individual, rather than a "participant". Anyway, he continues looking for more information on the net. And finds good things, like this letter concerning a group of stock brokers and stock transfer companies who tried to withdraw from their contract with DTC,, and found out that they couldn't. DTC is a monopoly. And apparently they run it a bit like a black box, where even brokerage houses can't really learn all the details about what happened with their stocks. There are irregularities like stocks being oversold, meaning that more are being offered than all the actually outstanding shares of the given companies. Very interesting letter.


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28 comments

21 Dec 2003 @ 19:37 by Seb @156.34.16.232 : How...
How did you find that post?  


21 Dec 2003 @ 19:48 by ming : Elementary
I noticed the site in Technorati as it happens to be pointing to my blog.  


23 Dec 2003 @ 20:40 by Bubba @12.219.67.174 : the same way...
I found a hit last week from here.

My saga continues with DTC; the investment firm that "moved" the stock is now quite aware that they conducted this transfer without any request from me -- or my non-existent broker. $600 is not just pocket change for me, but I am enjoying the squirming.

OBTW, an individual from DTC *did* return my call, albeit only to inform me that Mellon Investors must do the research .... gave me her boss's name.

The crux of the story is that all those stocks "owned" by mutal funds in my (and everyone elses) 401K's and IRA's are just toys for short sellers and income for the DTC.

Stay in touch,
Bub  



24 Dec 2003 @ 07:53 by ming : Big and small
I think it is an intriguing situation. $600 makes a difference to you or me. To DTC it is so ridiculously small. But it is their supposed business to keep track of every cent. And that becomes their vulnerability too. They kind of have to pay attention to somebody like you, even if they don't want to, and even if it is against their policy, because they've got your money and they promised to keep track of it. But they can't afford too much publicity. I think they would be very uncomfortable if millions of people actually were aware of how their business is run.  


15 Jan 2004 @ 20:20 by Bubba @12.219.67.174 : DTC took my stock ....
claimed that they had erroneously assigned it to me in Oct. 2000. They are confused -- it's a matter of public record that I received it from the "unclaimed funds" from my state treasury. I'll begin the process of writing to DTC via snail mail, but I am also creating a portal based on my adventures: [link]

The fun begins.  



16 Jan 2004 @ 04:13 by ming : DTC
Sorry to hear they're not cooperating. But I think it is absolutely great you're making a site about what is happening.  


24 Jan 2004 @ 12:04 by Laura @207.69.241.102 : Mssing stock certificates from BMS
I noticed that I was missing some stock certificates that were held by my broker through Mellon Investor Services. I just got a notice from Mellon that my broker transferred this stock to Cede & Co. I hae been looking for information about this illegal transfer and want to know if anyone else has had this problem. The broker claims he knows nothing.  


27 Jan 2004 @ 09:52 by Kent @205.242.9.10 : stock transfers to Cede & Co.
Laura, I re-read your comment after the email I sent you. Your broker knows nothing because he didn't request the transfer. Mellon doesn't care -- it just blindly responds to DTC's request to transfer the shares to itself [Cede & Co.]. Mellon can get you the letter of indemnity, but it took me about a month to get my message across. See my url and hit 'em harder than I did ... they need it!  


10 Aug 2004 @ 20:06 by carl @65.95.77.129 : Stock Transfers
I happen to come across this web site, while checking out the competition (Cede & co). In their defense, it is the issuing company (the company you are invested in) that decides on which Stock Transfer Agency to use. They are merely a record keeping company. If the company you are invested in decides to change agents, the reliability of the information that Cede & Co has regarding your holdings depends on the accuracy and clarity of the information they receive from the previous agency, as well as various other factors. I hope this helps you in understanding the process. I too become frustrated in the inconsistencies, and I work with a Stock Transfer Agent. Good luck in your endeavours.  


22 Oct 2004 @ 21:06 by dave @64.141.83.56 : cede
The only form of stock ownership is a certificated ownership as evidenced at the company transfer agent.

If you have your stock in a brokerage account, they give it to Cede & Co. and they register it in their name. Cede has a trust agreement with your broker so that you are the beneficial owner, but they are the actual owner.

The Depository Trust keeps a list of how much they owe the various brokerages. The brokerages keep a list of how much they owe the various customers.

In a way, your brokerage statement is a list of IOU's and yes, there can be more IOU's than actual stock.

The lawsuits are beginning to fly. Check out [link]  



22 Oct 2004 @ 21:08 by dave @64.141.83.56 : cede
Cede & Co. is the nominee corp. controlled by the Depository Trust. I can't find out who owns Cede or where they are incorporated.

The word "cede" means to relinquish ownership.  



23 Oct 2004 @ 00:00 by ming : Cede
I wish somebody could indeed find out who owns Cede & Co and show us what it actually says on the paperwork. Would be very enlightening. I would suppose they would have wanted to distance it a bit from DTC itself, so as to be able to deny that they really own all those stocks. But I doubt it would be just any random names that are the real owners.  


4 Nov 2004 @ 16:35 by ben @156.63.204.40 : CEDE & CO
I think I have problem of unauthorized stock conversion by CEDE & CO too. I would like to call or e-mail them. Can anyone offer the contact information?  


30 Nov 2004 @ 18:22 by Kent @63.85.201.10 : CEDE & CO.
ben: [link]

carl: To the best of my knowledge, the company in which I have invested has *not* changed agents -- it's been Mellon Investor Services since ~2000. The point I wish to make here is: if indeed an error has been made, what was the nature of the error, who made it, and who initiates these transactions based upon errant entries? No one from either organization will answer this.

Be sure of yourself before defending a complex organization. Look at the erroneous transfer form at

It has all the looks of an antiquated boiler room operation: (1) it appears this 15th generation copy was snatched from a dusty file drawer somewhere.
(2) Who in the year 2000 used stamps, and how old is this "New York, New York" stamp?
(3) Do we make such an abundance of erroneous transfers that we must have a form to correct them?

If *I* received such a form from a supplier or customer, I'd laugh at it, call the sender and tell them to send me a good document. Something is fishy in New York, New York.  



30 Nov 2004 @ 23:05 by ming : CEDE
Wow, so that's the 20 trillion dollar operation that are entrusted with most everybody's stocks!?! Yeah, that's reason to be a bit worried. Did they do carbon copies too?  


4 Nov 2005 @ 01:00 by Kent @205.242.9.10 : Stock recovered
After a mere 681 days, I have recovered my stock. See my link above.  


21 Jan 2007 @ 02:24 by william @207.69.139.12 : stock stole
hi my name is william i found this site when i was searching for information on a company called cede. i found out they stole 186 share that i owned. ast the shareholder company in charge of my shares said they were transferd in 2002 to cede however they cany come up with any information on how or why it was turned over to them. i would appreciate any information anyone may have on getting in touch with this company. i have an attorney and im about to put a law suit against ast and cede. if you have any info please contact me via 662 419 7753  


6 May 2007 @ 16:34 by A friend of The carpenter @208.14.218.12 : Cede & CO.
Something to think about. "Cede" means to assign or transfer or even to give up all rights in terms of extreme use of that word. How do you like your stock being stamped with "CEDE and CO". Could be used against you in terms of you "ceded your stock to us". Sorry, bummer! No stock for you, you gave up all rights to it when you let us stamp your stock with CEDE . . . something to think about.  


7 Aug 2007 @ 18:52 by Pam @198.203.175.175 : CEDE & CO
Has anyone found an answer to this situation? I have had the same situation happen to me re: deposit when I had requested the name on the certificate be change so I could cash out. It's been almost 3 yrs...  


26 Nov 2007 @ 11:31 by kenneth @4.159.128.228 : CEDE & CO
I purchased stock threw my employer over 10 years ago. Equiserve(now computershares)told me that they transferred the stocks(30 shares) to Mellon Invester Services. Mellon told me that only 17 shares were transferred and that Equiserve placed a stop on the 30 shares on 6/95. Mellon didn't take over until the year 2000. I have located my 30 shares. First Chicago Bk of NY has them which, Equiserve/First Chicago Bk of NY are one in the same. I called a attorney and they told me to mention the word "Compliance". I'll kept you informed on my progress. I should also mention that we have never received dividends on our 30 shares but on our 17 shares, we have received dividends for the past ten years.  


25 Feb 2008 @ 21:03 by leon f. entin @24.184.85.78 : pay-o-matic stocks
How do we cash in these stocks, purchased in 1984?  


9 Aug 2008 @ 07:39 by pattyrey@tampabay.rr.com @70.127.182.142 : DTC CEDE & CO.
Have you ever heard of the "Plunge Protection Team" generated after the 1987 crash ? Hmmmm. Could it be a nice way to manipulate the markets ? ( Buying & selling the stocks entrusted to them for safe keeping ? Funny that the time allowed for payment of a purchased security decreased from 10 to 3 days, UNLESS held in "street name " about that time. Just a coincidence ?)  


9 Aug 2008 @ 07:58 by pattyrey@tampabay.rr.com @70.127.182.142 : DTC DEDE & CO.
About 1988 it was rumored that DTC and CEDE & Co. were subsidiaries of the Federal Reserve. It would be handy for manipulation of the stock markets if they can (CYA) when their " managed economy" has met the fate of all fiat currencies, the effects of which become apparent in the markets. Would that explain the unofficial devaluation of the dollar due to their constant creation of inflation, made worse by all the current bail-outs ? (At taxpayer expense, of course>)  


19 Sep 2008 @ 22:10 by Kent @71.7.3.83 : Interesting cycle we have here
Short selling is a hot topic again. Interestingly, I have found a good document from Germany that describes the history and logic behind the infrastructure that permits short selling in US markets. See it here: [link]  


23 Sep 2008 @ 01:20 by schallb @4.159.173.66 : Cede=NOT MINE
This is exactly why I got of the stock market in 2006. I read about this back then...  


23 Sep 2008 @ 20:56 by Kent @71.7.3.83 : My simple rendition of short-selling
I'd been sitting on this capsule story for years. Click on my name above to read the neighborhood version of short-selling.  


30 Sep 2008 @ 19:11 by Theresa @66.184.203.234 : Cede & Co, DTC company
I work for a brokerage firm and started researching Cede & Co when our client received a letter stating three certificates undergoing reorg had been exchanged and the new issue registered to the name of Cede & Co. I had personally sent these certificates to my back office and couldn't figure out how Cede & Co had gotten their hands on them.

I called BNY Mellon (the writer of aforementioned letter). I asked the guy @ BNY Mellon how they could send shares to an unauthorized 3rd party without a signed, medallion guaranteed request from client. He had no information but gave me Mellon's DTC phone #. Before I called them, I called our reorganization department (where I had sent the certificates).

I was told that reorgs/exchanges are treated as DTC transfers and that Cede & Co handles our company's DTC requests. So in our situation, Cede & Co was legitimately involved.

Not sure if that helps anyone else but hopefully it eases the suspicion that all activities involving Cede & Co are bogus.  



3 Sep 2010 @ 06:13 by Lightning @64.231.186.110 : Cede.Co.
I once heard a guy named David Ikie, I think thats his name? Anyways he was talking about who controls the internet? The rockefellers he said were a strand. the governments royality, all but strands. what controlled the Web, lurked from the shadows, The Spider. The jew in command for this period. Beyond the rothschilds beyond them all, there is one. Ever notice As the rules of just life multiple? More and more vacines the fear of terror, all the fears. Designed, for the masses.Everyone forgets about China. Their water the communism, the control, the secrecy, the internet censorship? Man o man this is the fearful situation my brothers and sisters.
The Spider will use that power, that number. may all our hope...lay in good ol' India, lots of people and free. We need the leader in all of us to emerge. Get ready to abandon oil, or get ready for the "chip". And remember The God does not ask for sacrifice.  



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