August 28, 2005
I’m writing this to express my concern over the practice of naked shorting in the Pink Sheets and OTC markets. Many of the stocks here are companies that appear to have good ideas and plans, but are being held down, price wise, by the blatant short selling by mms. I believe the positions I invest in on the Pink Sheets and the OTCBB deserve the same transparency and regulatory oversight of short selling as those listed on the Big Boards and NASDAQ.
The SEC has a responsibility to protect investors such as myself from price manipulation by greedy market makers. As I understand it, the practice is illegal, but is not being monitored by the SEC. Why not?
I am requesting that you take a look at SEC File No. 4-500. Request for Rulemaking Regarding Member Records of “Short” Positions and Reporting and Public Dissemination of Aggregate Positions by Security. Please act on this most important issue.
Thank you for your time.