Subject: File No. S7-14-08
From: Michael Nevels
Affiliation: Lawyer

September 10, 2008

The proposed rule does not in law or fact establish that the subject annuities are annuities. Such determination will remain to be made, most likely on a case by case baiss. As a court has held: "Simply because all of the annuities . . . do not fall within the section 3(a)(8) exemption does not mean that they are 'securities' under federal law. As such, the Court must now determine whether the aforementioned annuities are 'securities.'" Luzerne County Retirement Bd. v. Makowski, 2007 WL 4211445 (M.D.Pa.,2007)