Subject: File No. S7-08-09
From: Stephen Moore
Affiliation: founder of

November 2, 2009

Well it looks like the SEC sent a strong message by requiring an extension on the lack of the uptick rule. Looks like investors have witnessed the changes at the SEC and can see the future. Different heads being advised by the same old self serving investment banks. It was extremely disturbing to see one asking for a license to extort, to allow naked shorting, those companies that don't do business with them. Even more disturbing that they are one of your advisers at the table.
Those that feel not having the "uptick" rule and to allow naked shorting will be a benefit should be considered for a 5 year trial. Create a list for those that don't want the "uptick" and for 5 years allow their stocks to be shorted with no uptick rule. Those that feel allowing naked shorting is a benefit for listed companies should have their companies as well as the firms they do investment banking for should be put on a 5 year trial and allow short sellers to naked short them. Let them enjoy the benefits of not having the uptick rule applied and to be naked shorted.
I am also amazed that one actually used the argument that its clients don't want the uptick rule because of the added expense of trading fees. I guess they would rather lose their pensions than pay a $1.00 or $2.00 per trade then again did the firm pass on the savings when the uptick rule was removed.
These firms seem to know who they are dealing with and watch how the market reacts when investors find out. Last time mutual funds were almost destroyed when the abusive tools are handed back the job will be finished.
One final note: Those that use the argument that the shares went down when short selling was banned must think you are real idiots because it does not take much of an IQ to realize that investors took the chance to get out before the abusive short selling was allowed to continue.
It is unfortunate that the SEC do not have the same vision President Obama has for how the US is to be run. He has surrounded himself with thinkers who are able to put themselves in other people's shoes. The SEC is relying on the advice of the self-serving who can't see past their own nose except to see how much they will be able to get away with.
If there is no uptick rule at least stop short sellers from selling at the BID. They should not be allowed to dump stock.