July 24, 2008
Chairman of the SEC,
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Regarding your recent rule change - - file number S7-20-08,
I have read the following FAQ:
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Division of Trading and Markets:
Guidance Regarding the Commission's Emergency Order
- - - Concerning Short Selling
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In the rule you open with this statement: "False rumors can
lead to a loss of confidence in our markets". To that I reply
"selective enforcement of universal rules can lead to a loss
of confidence in our markets" .
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I am deeply concerned regarding MY direct conclusion that :
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Some companies are more worthy of SEC protections than others
Some investors are more worthy of SEC protections than others
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You don't need me to spell it out for you - the implications
are obvious and quite disturbing. MANY MANY investors
in the small and micro-cap investment community have com-
plained over the years about their suffering harm due to the
SEC not enforcing rules w.r.t "naked short selling" .
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Suddenly you have found your courage and have also decided
to enforce the rules in your charter - - when an elite group of
connected financial houses and investors are "harmed" by sup-
posedly naked short selling. (Very little has occurred according
to recent WSJ articles.)
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TO THE SEC I say that your "selective" actions are very
un-American and you should be ashamed. Whatever happen-
to the idea of a level playing field, transparency, and equality
under the law?
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Apparently only "elite" financial institutions are worthy of your
protection. You should be ashamed, and should also resign
your office ( Mr. Chairman) - but because you have no scruples,
and you certainly have no shame, you won't.
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Again, I say to you - - shame on you! You are not worthy of
respect. You should resign.
-
G. Kilnapp