Subject: File No. 4-500

September 7, 2005

In the 60's and 70's I traded OTC stocks on Wall St. for a number of major firms. Armed with that experience I have been aware of short sale abuses taking place for years. It is common knowledge that firms short massive amounts of stock each year, Many firms use this method to cover their annual operating budgets, hoping to drive the subject companies out of existence. As you undoubtedly know this method of gaining funds is possible because of exemptions appreciated by dealers regarding the loop hole provided by your rule. The largest trading houses are the abusers. Never the less, the unfair playing field you have created has allowed these greedy firms to create situations in which the individual investor is damaged and weak but possibly promising companies can not survive. I have on more than one occasion owned an issue whose market was artificially damaged as a result of massive shorts. Kill the company and there's no pressure to cover. This is basically contrary to fair play and contrary to the spirit of the law as well as the reason your organization is in existence.

I call on you to act on SEC file No.4-500. The "Pink Sheets Request" for rule making, Regarding members Records of "Short" Positions and Reporting and Public Dissemination of Aggregate Positions of Each Security. I further request you change NASD rule 3360

The exiting condition is only getting worse because there are no bounds on these greedy firms and trading institutions. At the least restore some amount of dealer to investor balance. As the retail customer's trust and confidence is further eroded the less they will participate in the market place and the less stable will be every institution involved, including yours. I dare say, if you do not govern and correct this great wrong the decision will be taken away from you as you and the problem will inevitably come under legislative scrutiny and formal legal change. It is possible your organization has just out lived it usefulness. After all, who are suppose to protect? We will see.

Finally, there are more then a few pairs of eyes watching to see how you jump.

Thank You

Daniel J. Dumproff