Subject: File No. S7-08-08
From: Benjamin G Fay
Affiliation: Investor

September 17, 2008

Gentlemen

Naked Short Selling is a license to steal. It should have been eliminated long ago. As recently as July and August 2008 2 major banks (their names unknown because of your rule to protect the guilty and to hell with the innocent)owned approx. 34% of the Short Contracts in Gold (GLD) and Silver(SLV) that represented approx. 150,000,000 oz of gold. Want to bet they were naked???

Numerous junior gold mining companies have been destroyed by the Naked Shorters. Is that what America represents? After the most recent crisis in the financial securities and the Freddie and Fannie dilemna and the games the Regulators played which has allowed the Wall Street and Investment Banks crooks steal the money from trusting investors, worldwide.

I have read the press release on the new "Naked Short Selling" rule. My questions are as follows

Para. one of the news release states "The Commission's actions will apply to the securities of all public companies,---"

My Question Is this statement designed to eliminate Exchange Traded Funds since they are not a security per sec, like GLD, SLV and GDX.?

Next Question: We have always had criminal code making fraud illegal. It was not enforced by the regulators in the prior naked shorting cases even though people like Ted Butler made the case for you. What assurance does the average investor now have that the order will be enforced

Next Comment: The penalty cited in the 7th para is ridiculous If a broker-dealer commits fraud on behalf of a client you are going to prohibit the broker-dealer from further short sales "in the same security---" Geez that really scares me. He only has about 2000 more opportunities in other securities. Why don't you put the Bastards in jail? It is this type rule making which holds you in such high esteem among the investing public.

I am of the opinion the SEC is simply the hand maiden of the Wall Street, and Investment Bank manipulators.

Next Comment: Bring back the uptick rule. Without the uptick rule who does it benefit? The removal of the uptick rule simply benefitted the Hedge Funds and Investment Banks who manipulate the price at all opportunities.