September 15, 2008
Please forward to Christopher Cox
I am writing you today to express my anger towards your organization and Christopher Cox. We live in a world where Wall St greed is destroying our markets yet you do nothing to stop the illogical and should be completely illegal practice of naked shorting? On what planet do you live?
It seems so simple that in order to sell a share in a stock you should own it or be in possession of it after signing an agreement to borrow it. Yet, you let billionaire hedge funds and other Wall St criminals drive stocks into the ground by selling shares that don't even exist via sells in shares that aren't really even there? This is completely outrageous. Additionally, it should be incredibly obvious that no real shareholder in any company would be willing to let a shorter "borrow" their shares so they can sell them short, drive down the price, make money, and then give them back to the original shareholder when they are worth a lower amount of money. It is outrageous to think that there is even 10% of the shares being shorted on the market are actually even able to be borrowed. No real investor wants to lend their shares to shorts! This is just a Wall St scam!
I am sick that you do not see the obvious problems in this whole process. It should be totally illegal.
For example, Washington Mutual has nearly 400 million shares short out of 1.5 billion shares in their float. Where did these shares come from? I guarantee you that the actual 'long' shareholders don't want their shares sold short. Are most of these phantom, fake, bs, naked short shares???? This is crazy!