Subject: File No. S7-12-06
From: Richard Collins
Affiliation: American Citizen

April 2, 2007

I am only a small investor and probably don't have a voice compared to some big time hedge fund or brokerage. I've been an investor since 2004 with no knowledge of the stock market. I never heard the words shorting or naked shorting until I started seeing my investments in companies dwindle.

I researched the web and determined that I wasn't the only one and got a good lesson as to how naked shorting happens and then the SEC denied that N/S exists. In 2005 they introduced reg. sho and the most astonishing part... the grandfather clause, my jaw dropped in disbelief that the one agency that is supposed to protect a small investor like myself, is actully giving big money a clean slate.

Is the SEC actually protecting the investor with this grandfathering? I don't think so. Is it the fear of a market collapse? it's possible but in life a transfer of wealth is inevitable as history has shown.

The investors of good companies have been damaged and deserve monetary retribution for the acts that you the SEC have allowed to happen.

Eliminate the Grandfather clause and let the brokers, hedgefunds, market makers, government and insurance pay up for the damage and mess that THEY created.

Stop playing games and make things right in the market again, no matter what happens