July 16, 2008
To Whom it May Concern -
I am very concerned about the illegal naked shorts. I have heard estimates up to 50% of the stock in the market is, in essence, counterfeit. As more people become aware of this, the worse it will become. I am not even sure the country will be able to ever recover if this isn't handled promptly.
The laws are not the problem per se. It is the enforcement, particularly if the participants have insulated themselves outside the country. The only way to end this is to send a few high placed hedge fund managers to jail. If laws need to be changed to do so, then do it. Otherwise, simply enforce the current laws.
We all appreciate this is a difficult task due to the size and the power of these people. But a little jail time can do wonders.