Subject: File No. S7-19-07
From: Dave Joseph

July 18, 2008

If I buy a stock on margin and the market runs against me I expect to get a margin call and provide additional liquidity to my account. That's the rule. If I don't do that, my broker can liquidate my position against my will. That's the law.

Why is it different for short sellers??
A legitimate buyer has paid for a security. The naked short seller said they have it. But they don't and they can't get it. That's breaks the agreement. They should be forced to deliver by purchasing on the open market. The SEC (or agent) should execute the order and back bill the institution that is pulling this stunt. AND penalties should apply.

Exceptions to regulation SHO make a mockery out of our exchange system. How can we have a fair and orderly market when it can so clearly be manipulated by phantom shares that do not exist?
What is taking you guys so long to do something about this?