Subject: File No. S7-12-06
From: Thyra Mangan
Affiliation: Investor

July 9, 2007

Dare I salute you with "Gentlemen and Ladies:"? I'm trying to pry it out of my mouth.

The delay in changing the illegal rules you have imposed on the investor, likewise the same illegal rules you have gifted to the hedge funds, aka options market makers, is more than likely an under the table agreement.

The Grandfather allowance is to be abolished, and they have 35 days to comply, after the rule is published, and after the waiting period after the rule is published. Until that date, they have 13 days to comply, but it doesn't matter, because they don't. Rules, you know.

The tick rule change didn't have to wait to be published, and then wait to be activated after it was published. It changed immediately.

It is pretty easy to see where you stand. It is not easy to see where you are standing -- is that in the Bahamas?

So, now we are waiting for you to consider options market maker exceptions rules. I'd like to get this clear -- maybe someone else on this sic blog, oops, SEC blog, can explain it to me. It isn't clear from what Mr. Cox has been quoted as saying, because I thought the SEC's job was to protect investors -- from fraud, manipulation, etc.

These longstanding delivery failures are linked to the grandfather exemption for trades and by the options market maker exemption, which allows an options market maker to maintain an open short position to hedge his options position. High and persistent trade delivery failures can be a sign of deliberate naked short selling, "and that can be used as a tool to drive down a company's share price," Cox said.

So, any of you guys posting your comments on this blog care to comment on how these rules benefit me -- an investor?

What effect does the 1933 and 1934 Securities Acts have on the SEC in 2004, 2005, 2006, 2007? Were they rescinded? Were they written to protect the investor or the trillions of dollars the hedge funds secretly manage? Is the SEC really supposed to enforce them?


Thyra Mangan