From: fas68 [fas68@highstream.net]
Sent: Monday, March 08, 2004 6:30 PM
To: rule-comments@sec.gov
Subject: Refer to File # 57-03-04

Re. Mutual Funds, favor rules that maximize the authority and discretion of the 
directors. Example of some such rules:
1) All directors but one should be indpendent. 
2) Chairman should be an independant director.
3)Independent director's staff and counsel.
4) Annual vote for directors.
5) A simple way for shareholders to to nominate candidates to compete with those 
picked by directors.
 
Also, there is a need for simplification of language used, particularly in re, to 
costs; e.g. the 12-b-1 charge is explained as"payment to broker" instead of a 
forthright statement of how it relates to shareholder (as follows):
The l2-b-1 charge is an annual cost imposed on present shareholders to pay for 
obtaining new shareholders for the benefit to the fund advisor; not to the benefit 
of the present shareholder, as the advisor may allege (to increase size of fund, 
which infact benefits advisor).
 
(Mr. F.A. Sorrel)   12027 15th Ave. NE, #306
Seattle WA 98125-50ll