Subject: File No. S7-12-06
From: Jill Lando
Affiliation: attorney

January 23, 2007

I happened to have dinner with some portfolio managers last night. They were laughing and carrying on, about how they benefited from selling and never covering. I was so disgusted. They acted like they had gotten away with murder, and thought it was hilarious. They seemed very sure that this Grandfather Clause would never be removed. I was not hurt by these deals, but after my encounter with these "businessmen", I started researching this controversy simply out of curiosity. I am very suspicious that the SEC members are getting "kick backs" to not reverse this rule, because it is clearly wrong. AND YET NOTHING WILL HAPPEN. The small investor will get the shaft, and the rich will get richer. Through my research I have lost allot of faith in the SEC.