Subject: File No. S7-18-07
From: John L Lackey

August 25, 2007

Whom It May Concern:

This communication is in reference to File # S7-18-07.

As it stands today many would be investors are shut out of some of the best investments available because they are not an Accredited Investor. Now you propose to close the door on many more investors because of the arbitrary figures you are proposing.

Please do not penalize all of these would be investors from participating in many valuable alternative investments because of some rogue agents or brokers who run scams and damage everyone involved in our industry.

In my opinion we should use a 10% standard (the investment cant exceed 10% of your inclusive net worth). Then, we can decide on the minimum investment size, hopefully no more than $100k, preferably a minimum of $50,000 which would allow for better diversification.

I have a number of clients who praise the alternative investments they participate in now and would be ineligible to do so in the future if these changes are made.

Thank you,

John L Lackey
Lackey Financial Management
415 S. Airport Dr.
Weslaco, Tx. 78596
Securities and Advisory Services
Offered Through VSR Financial Services, Inc.
A Registered Investment Adviser and Member
Lackey Financial Mgmt. is Independent of VSR