Regarding proposed rule changes to DTC by lawsFrom: David Salk [dsalk@clipon.com] Sent: Thursday, March 06, 2003 9:58 AM To: rule-comments@sec.gov Subject: Regarding proposed rule changes to DTC by laws It is abundantly clear that there are a significant and growing number of companies that have lost faith in the trade settlement system. The DTC owes it to the entire investment community to perform a thorough investigation of the allegations of naked short selling and lack of settlement of trades before making any proposals to the SEC that further restrict companies from exiting a system that may have some serious if not fatal flaws/loopholes. If we are to learn from the lessons of Enron, Worldcom and other Wall Street disasters, it means that we must learn to be more pro-active in recognizing and correcting these problems. Attempts to discredit these issues without proper investigation invites disastrous repercussions for the securities industry and investor confidence which is extremely shaky, at best. The DTC is a monopoly - we have anti-trust laws to protect the public from lack of competition. It is therefore incumbent on the SEC to refuse the request of the DTC to modify its bylaws until a complete and thorough investigation of the allegations made by companies who believe they have been victimized by naked short selling and lack of settlement of trades. Sincerely David Salk -- David Salk e clips 5762 A Peladeau Emeryville, CA 94608 510-923-0568 x 111 510-923-0598 fax dsalk@clipon.com