Financial Industries Corporation
August 21, 1998
Jonathon G. Katz
Securities and Exchange Commission
450 5th Street, N.W.
Washington, D.C. 20549-6009
Re: File No. S7-16-98
Proposed Amendment to Rule 102(e) of the Rules of Practice
Dear Mr. Katz,
Our company has recently been informed that the Securities and Exchange Commission has proposed an amendment to Rule 102(e) of the Rules of Practice in an attempt to clarify the scope and application of Rule 102(e). We are also aware that the American Institute of Certified Public Accountants ("AICPA") has issued a response to the proposed amendment, as well as an alternative proposal.
We are forwarding this letter to express our support for the AICPAs position with regard to the SECs proposed amendment. Moreover, we believe that the alternative proposal promulgated by the AICPA is the appropriate solution for advancing the intent of Rule 102(e) and balancing the needs of all interest parties.
Thank you for your consideration of our viewpoint.
Very truly yours,
James M. Grace
Vice President, Treasurer
and Chief Financial Officer