July 18, 2008
To stop naked short selling, you've got to tag every electronic share of stock with a unique ID #, just as automobile manufacturers tag every car with a unique VIN. That ID # must be included with every share, borrowed, bought, or sold, for all electronic transactions.
With unique ID #'s, a quick database search each night would catch all naked short sellers. The SEC would clean house. It would be easy to see if any shares of a given stock were double-borrowed.
Kind Regards,
Christopher Nunneley
CEO
U-Drift, Inc.