October 17, 2008
Hello SEC,
Please show no mercy in enforcing the naked short selling rules. The people who did this hurt America. They wrecked capitalism, free enterprise and the entrepreneurial spirit of America with their greed and unfair business practices. They are shorting so fast and so furious, within minutes, with $5 to $10 million dollars at a time as Jim Cramer reports it, so they can get in and get out. Once they get in and out so fast, they do not give the sytem time to catch up and so the 3 day rule to cover is worthless. They are already pouncing on another victim.
We know of a guy who moved from the Midwest, I believe he was in Kansas City, just so he could compete with the big boys and their computers in New York City. He said he was 20/1000 of a second behind them! That is how fast this damage is done! Here is that story:
http://www.batstrading.com/news_article_pdf/Firms%20Seek%20Edge%20Through%20Speed%20As%20Computer%20Trading%20Expands.pdf
Please consider these points while evaluating taking action and fixing the problem these evil, anti-Americans have done to our economy:
1) Naked Short Selling (NSS) is not sudden and acute as they describe it, it is a chronic sickness
2) NSS schemes focus specifically on the biotech field because of the ample opportunity for fear, uncertainty and doubt given the highly technical nature of the clinical trial-biotstatistics-medical science nature of the news flow for this sector, enabling NSS pros to easily use short/distort schemes. Therefore the SEC should focus now on the RegSHO biotech stocks and investigate and prosecute immediately the criminal hedgies shorting DNDN with NSS. These NSS folks are interfering with medical advancements!
3) Financial journalists and financial analysts are part of the scheme and should be prosecuted. Go to Jim Cramer first for all the info you need. He lies about companies to move stocks. We caught him doing this with DNDN. Here is a good article in his own words:
http://www.thestreet.com/funds/realmoneyradiowrap/10329451.html
4) Collusion is a big part of the game
5) Shareholders have little to no recourse, thus, SEC needs to prosecute vigorously
6) Confidence in the fairness of the US market has deteriorated, and w/o headline SEC prosecution of illegal hedge fund activity, no one in the world will trust the NYSE, NASDAQ or any other US based stock market. Notice how the number of IPOs goes down each year.
7) The case of illegal NSS in Dendreon (DNDN) would be a perfect poster child example for the SEC, showing the vile nature of hedge funds who would try to destroy a company which is curing cancer, and restoring significant public support for the SEC.
Please help us hardworking Americans who don't have $5 to 10 million to move the market. Not that we think we should move the market. We don't think anyone has that right. We just want to invest in companies we believe in and help them grow and bring good products to market and produce jobs here in America. And we want to save for our retirement and major purchases and college. We want our money to work for us, not stolen from us.
Thank you for your time,
Mike Kearney