April 15, 2007
The fiduciary duty of care owed to the investor seems to disappear as the shares purchased head into the DTCC where they are held in an anonymous "pooled" format.
The crime being committed is actually a hybrid between counterfeiting and a 10b-5 securities fraud. The SEC does not have the power or mandate to allow "would be" bona fide market makers to sell nonexistent "packages of rights" attached to a specific public corporation in exchange for a U.S. citizen's hard-earned cash.
This whole issue is not a matter of "good clean fun between the shorts and the longs". This is organized crime permitted and condoned by regulators not recognizing the absurdity of letting Wall Street participants dealing with trillions of dollars of investors' property to sell things that simply don't exist.
End the grandfather clause and the market maker exception today.