July 8, 2008
In these turbulent financial times, the specter of millions of unsettled trades executed by Wall Street profiteers hangs over our markets and the financial health of small, innovative enterprises. In the three years since Regulation SHO has been in place, nearly 6,600 unique securities have appeared on the Regulation SHO threshold list, many for hundreds of trading days. We do not know how many of these companies are the victim of illegal manipulative naked short-sellingbut it should be obvious to those within the SEC that perhaps all, or the majority of those companies are NSS victims.
I think its time, and believe that the SEC also thinks its time to stop protecting speculators and market makers and start protecting Americas investors and innovative enterprises. Looking particularly at the fields of biotechnologynaked short selling is selling short Americas future in this critical space.
So lets end the criminality of NSS, and force everyone to settle the trades. And lets keep it simple: T+3.