Subject: File No. S7-12-06
From: Raymond Powers

March 2, 2007

The SHO grandfather clause should be repealed immediately. The ability for insiders, brokers, hedgefunds to Naked Short any companies stock gives them a totally unfair advantage in the market place. It also makes it difficult for start up companies to get financing, If a competitor wants a start up to go bankrupt, all they have to do is short it into oblivion.
Besides: IT IS ILLEGAL per 1933 laws.
The SEC had no authority to enact this law.
It has made the market too risky for start up companies, many are now going overseas.
The US is losing out on new technology because of companies going overseas.
100's of more reasons available