Subject: File No. S7-08-08

April 13, 2008

Naked Short Selling Anti-Fraud Rule

Dear Gentlemen,

The proposed rule refers several times to "liability". I would like to know to whom is the liability owed? Is the liability to the SEC, or to the broker-dealer, or to the purchaser? For this rule to have any merit it ought to create a civil cause of action for either the broker-dealers or for the defrauded purchaser. This would have the virtue of enforcement of the rule not being limited to the SEC. In an era of limited funding of the SEC the assistance of private individuals and the courts ought to be encouraged.


Sidney Jacobs
Mechanicsville, MD