Subject: File No. S7-09-09
From: Richard Mikula
Affiliation: Liberty Financial Group

June 30, 2009

I am a member of FPA and SEC-registered investment adviser.
Requiring mandatory audits every year of all discretionary accounts of an investment adviser by an independent public accountant is another attack on independent advisors. The SEC considers automatic deduction of client fees from these discretionary accounts to be 'custody' of client assets, thereby requiring special attention in the wake of the Madoff scandal. The SEC estimates the average cost of these audits at $8,100 per firm.
The SEC continues to be the water boy of large brokerage houses. Either you are a brokerage executive or a SEC/FINRA executive. They seem to have rotating careers protecting the brokerage house's huge profits and screwing the public.
Brokerage houses come up with new schemes every 5 years to bilk the consumer and SEC/FINRA create rules to help them. Having the foxes guard the henhouse has never worked and will never work. Can anyone stop this legal thievery?????????????????????????????


Richard Mikula
Liberty Financial Group