August 8, 2008
August 8, 2008
COMMISSIONER CHRISTOPHER COX
The Securities and Exchange Commission
100 F. Street, NE
Washington, DC 20549
Dear Chairman Cox,
Im sorry, but I am simply forced to ask you folks at the SEC and the DOJ, What on earth are you people doing? Why do I ask such a question?
You have literally sat there and watched people fleeced on stock after stock, and done little, if anything to stop it. A few examples? From ECNI to PCBM to CMKX to SFPS to DKGR to GBDX and more. Its the same cast of characters stealing over and over and over.. with no recourse against any of them. Be it naked shorting or counterfeiting or other creative methods of stock manipulation, the markets have been a target-rich environment for every shyster and scam artist imaginable, some highly organized, and your agencies persists in doing nothing of real substance to stop it. Oh sure, you go after Martha Stewart for a few thousand dollars so the media can paint the picture of your agencies doing a great job. You might use the administrative halt tool from your arsenal, but only after massive amounts of money have already been stolen. Perhaps you might even fine a market making firm a few thousand dollars after they have stolen $100 million, but you never force these criminals to pay back the money stolen and never send anyone really responsible to jail for any time commensurate to the crime. In the meantime, billions upon billions of dollars have been fleeced from the one class of investor who can afford the losses the least - the little guy.
So, could it be that you are simply unaware of the criminality that average folks like me see on a regular basis? I would logically ask, how could this be since it is your job to monitor the markets and I am only a casual observer, and yet I see the truth. Well, you might try to feign a lack of awareness as an excuse, but to the contrary, we, the shareholders of this nation, have been screaming at you about these issues for at least a decade. So basically, that excuse does not hold water. Nothing ever gets done to truly correct these problems and in the interim, innocent people lose their homes, companies go out of business with massive job losses, and America dies a slow death.
An excellent example of your notice? Approximately 3 years ago, Biotech Medics (BMCS) CEO Keith Houser provided for your agencies review, over 36,000 documents proving beyond a shadow of a doubt that his company had been the victim of massive counterfeiting and naked shorting in excess of 50 million shares. This company, I believe having a very small float, far less than the stated counterfeited amount, is being hammered by stock manipulation on a daily basis as no government protection has yet to take place. You definitely know of the criminality, as the proof has been laid at your doorstep yet, nothing ever gets done. Could you please tell me why is that? After all, how many companies have to be murdered while you do nothing but position yourselves for the best seats in the house?
Please tell me, for perhaps I have it all wrong. Are you trying to tell Americans that stealing and manipulating is the desired course of conduct, and being a law-abiding citizen is the wrong approach? The lawlessness your agencies seem to go by clearly promote such a policy. I thought it was always the right thing to do to root for the good guy in life, but I see that according to this government, I may have my allegiance in the wrong place. So I am asking a simple question: WHY WONT YOU ADDRESS THIS STOCK FRAUD AND THE VICTIMIZATION OF BMCS, ESPECIALLY SINCE YOU HAVE HAD IN YOUR POSSESSION THE UNDISPUTED PROOF OF THIS MANIPULATION FOR ALMOST 3 YEARS?
For Gods sake, at least have the decency to tell us what the rules really are so we can play accordingly.
Very truly yours,
Allan F. Treffry, Esq.
cc: The DOJ