Subject: File No. S7-07-11
From: Carrie Devorah

August 19, 2014

Carrie Devorah
[email address redacted]
[phone number redacted]
Public Investor 12-03498


While the question at hand is "removal of certain references and amendment to the issuer diversification in the money market fund rule" there is and will be the "what if" question. What if someone does  not comply? Where will it be resolved? Who will know about the problem?

Hillary Clinton says it takes a village to raise a child. 2014, new information is being disseminated purposefully and publicly. It takes one file, one angered investor to state, NO, no more Comment Solicitations from the SEC about matters concerning domestic and international investors in the American Markets  until  FINRA is disbanded  but only after the millions taken from Investors has been disgorged and complicit parties jailed.

The unofficial self appointed SEC lapddog for Investor issues is FINRA.  FINRA tells people it is authorized by Congress on its website. FINRA ranks high in Keyword searches. FINRA boasts it handles 99% of Investor issues.  People trust.  FINRA states it is about Investor integrity. People trust. FINRA tells global markets it is about market integrity. People believe. FINRA tells people it is an authority to conduct arbitrations between Financial Industry and Investors. Investors trust. FINRA tells investors it conducts Arbitrations  in accordance with the Federal Rules of Arbitration.  Investors believe. The SEC lets people Trust and Believe.

But what if that is not the case? What if the SEC knows what FINRA is and isnt but does nothing. How far up the appointee ladder should the Financial and Fiduciary Tramp Walk of Shame go?

This  SEC Call for Comments is footnoted with Red Flags and Alerts:

The Investment Advisers Act Release No. 3118, December 1, 2010,  proposed  a two year extension of rule  20(3)-3T's sunset provision).

The Temporary Rule Regarding Principal Trades With Certain Advisory Client, Investment advisers Act  ReleaseNo. 312, December 28, 2010) adressed extending rule 206(3)-3T's  sunset provision from December  31m 2010 to December 31, 2012, 2010 Extension Release.

The Temporary Rule Regarding Principal Trades with Certain advisory Clients Investment advisers Act Release No. 3483, October 9, 2012, proposed a two year extension of rule 206(3)-3T's sunset provision.

The Temporary Rule Regarding Principal trades with Certain Advisory Clients,Investment Advisers Act Release No. 3522,  December 20, 2012 extending rule 20(3)-3T's sunset provision from December 31,2012to December 31, 2014.
Section 913 of the Dodd-Frank Act required the SEC to conduct the study delivered to  Congress on January 21, 2011, "Study on Investment Advisers and Broker-Dealers."

In common with all the afore  listed? Advisory clients. Broker-dealers. Financial Entities.

FINRA's self assumed oversight is a problem linked with refusal of the SEC to act upon False Claims ( and act against an entity deceptive as if it is A Government Official/Agency (

FINRA states on its website it is authorized by Congress  "About FINRA - FINRA We're an independent, not-for-profit organization authorized by Congress to protect America's investors by making sure the securities industry operates fairly  ...
‎What We Do - ‎Contact Us - ‎Firms We Regulate - ‎Leadership" (

FINRA is not  authorized by Congress yet this false claim sits on their website and is repeated on the LINKEDIN CV's of FINRA arbitrators/mediators.

FINRA allows non licensed attorneys to argue for clients in foreign jurisdictions, sanctioning unauthorized practice of law, despite the website page on FINRA's website. FINRA Case Managers state  vetting Opposing Counsel is the responsibility of the Investor,  the client of a Broker-Dealer, Entity or Investor, to confirm opposing counsel is licensed to argue in the city in which FINRA sets the arbitration/mediation to be held.

FINRA allows Arbitrations/Mediations to proceed without the Arbitration/mediation case/number being reported in to the Industry Respondent's Broker History.

FINRA sends, interstate via Fax and US Mail,Arbitration Panel CV's stating an Arbitration panelist is  a  licensed and practicing lawyer when the local Bar shows the  proposed Panel Chair's license is inactive.

And when a  FINRA arbitration panel  Award is sent out adverse to the Investor, FINRA says, the Investor cant do anything about the FINRA Panel's Award decision except file  an appeal in the US Courts of Appeal because FINRA  arbitrations are in compliance with the Federal Arbitration Act.

FINRA arbitrations are not in compliance with the Federal Arbitration Act.  FINRA awards provide a 30 day valid reason for non payment of the Arbitrators award. There  is  no lifeline, no Monopoly "escape from jail" provided for in the Federal Arbitration Act. There is a reason FINRA provides "league member" escape from jail FINRA provides to Industry members. FINRA member league financial industry pay dues. That  said, there is no 30 day valid reason for non payment of the Arbitrators award in the Federal Arbitration Act.

FINRA attorney Terri Reicher wrote "...seem to think that FINRA’s By-Law, Article VI, Section 3, exempts you from any legal obligation to pay the arbitration award  at issue because it contain an exception for “valid basis for non-payment.”  The By-Law in question permits FINRA to suspend the licenses of firms and associated persons who fail to pay an arbitration award, unless they present a valid reason for not paying the award. The By-Law does not apply to you because you are not a firm or associated person subject to FINRA’s regulatory jurisdiction.  You do not hold a securities license that FINRA could suspend. Moreover...."

Reicher continued "Finally, the term “valid basis for non-payment” applies only to the FINRA By-Law; it does not apply in any court proceeding that the firm might bring against you to enforce the award. FINRA has no role in judicial proceedings to confirm or vacate arbitration awards, and FINRA By-Laws do not relieve you of any obligation imposed by the arbitrators.  "

Investors do not pay dues to FINRA. In itself, said, the SEC complicit forum for any and all Acts proposed and sought comment for is not neutral. FINRA must be shut down.

And what happens when a District Court judge fails to act despite being given documentation the Lawyer on an arbitration panel and the Lawyer representing respondents in the FINRA arbitration were practicing law in the District without a license, making this Arbitration non-compliant with the Federal Arbitration Act.

To be clear, neither AAA, ABA,  JAMS or local bar jurisdictions vet  Lawyers bar numbers as a requirement to representing clients in their  arbitration forum. The AAA, ABA, JAMS work on the honor system, the representative  said. There  isn't honor amongst thieves. Thieves do find their  way in to honorable systems.

The process to re-balance for Investor Rights and Reparation is slow. Lawyers and judges are accountable to review boards. Review boards themselves are accountable to local laws and jurisdictions.  Legislators have oversight. Legislators have constituents who are investors. Legislators have constituents who are jailed, liberties lost, while FINRA expunged history members  are turned back on to the unsuspecting public greater than ever before- via altered and/or incomplete U4's, websites, internet,  podcasts, seminars held in hotels, restaurants  with comp'd  dinners, the list goes  on.

An answer is law enforcement. Law enforcement is the back bone of the judicial system, the spine of real laws, legal law, not by-laws that FINRA cites as its raison d'etre for One Standard Rule for  Industry and Another Standard Rule For Investing Public.

In the world of crime, there are terms such as "accomplice", "co-conspirators", "conspiracy," "cover-up". Search the term "accomplice" online. It is revealing. "
a person who helps another commit a crime.
synonyms:          partner in crime, associate, accessory, abettor, confederate, collaborator, fellow conspirator, co-conspirator; henchman; informal sidekick"

Another definition is a tad more color filled, "
Accomplice | Define Accomplice at
Accomplice definition, a person who knowingly helps another in a crime or wrongdoing, often as a subordinate. See more..."

Law Enforcement needs crime data, increasingly more challenging in a world of budget decreases, complicated with financial industry Cover Up of Crimes, first NASD, now FINRA. Law  enforcement needs a Crime Analysis of data provided by investors that submitted to FINRA's forum, that signed Expungement agreements under the extortion threat if the Agreement to Expunge the Financial Industry parties background was not signed, the investor would not receive their penny on the dollar compensation. The Crime data would have to go  back decades.

Costly? Yes. FINRA execs should pay for  it.

FINRA expunges Bad Actors histories, on the one hand or page, telling investors to use Broker-check to vet out complaint histories of potential Investment Advisors, Broker-Dealers and Entities while failing to advise potential investors that the IA, BD and Entity background may have been scrubbed, whitewashed, sanitized- expunged- and how many times the background was cleansed. FINRA arbitration-mediation decisions are pennies  on the dollar returned to the harmed investor. A $1,900,000 claim against Industry returned $200,000 to the Investor.   Sweet deal, SEC, sweet  deal. A cool walk  away of $1,700,000 to the FINRA member-arbitration participant and a sanitized brokerhistory, to boot.

While the  conversation  against forced Arbitration largely has focused on Arbitration being unconstitutional, the conversation now before Congress  is that while FINRA purges taint from their members  and of non-members that did not sign FINRA's Special  Submission  Form, turning them back on to Financial Streets to repeat their crimes again with no loss of Civil Liberties and no need to disgorge their stolen financial gain living lives of the Rich and Famous and Wolf Of Wall Street, men and women, mothers and fathers who stole to provide for their children or other crimes, Scarlet lettered for life, left to languish  in prison losing Civil Liberties of freedom, right to vote, unable to qualify for certain jobs sometimes from teen-hood to adult-hood. Their lives are destroyed. Wall Street White Wash criminals lives go on.

This is wrong.

So, what is the value of proposing any rule or amendment if the Resolution forum is a fraud.

From the get, go, FINRA's File Number S7-07-11  "removal of certain references and amendment to the issuer diversification in the money market fund rule" with global financial  implications is a no-go until FINRA is  dissolved with a law  abiding neutral  regulatory agency replaced  with sworn law enforcement sworn of financial crimes oversight removing a slap-on-the-wrist street performance with a jail-jail-jail-time-baby authority.

If one could have access  to the Madoff file, would one most likely find a web of deceit  acting as a safety  cushion for the Man Who Fell From Financial Industry grace going back as far as the NASD. For sure. Expungement did not start in 2009 with FINRA. Expungement goes far back in to the 1990's. FINRA replaced NASD as the Queen of Cleaning brokers backgrounds.

Law enforcement tells us if you sees-something-says-something-SO-LOUD-AND-PUBLIC-that-someone-does-something. 

Madoff  got caught not because Industry regulators did their job. Madoff said the Regulators knew. Believe him. Until all expungements of Industry entities and individuals are repealed and replaced; until all funds are disgorged; until all accomplices are jailed with loss of Civil Liberties, or in the converse, or in the converse, all jailed persons are restored their civil liberties? Then, SEC, no more comment solicitations. Deal with this crime. Or do the time.

The upside to the SEC stopping all comments to adress FINRA's role in Investor crimes? A healthy-ier Wall Street. As  long as  there is  money involved, there will be criminals to be found.

Public Investor 12-03498