July 3, 2005
If the commission honestly wants transparency in the market, it will cease in providing loopholes for the manipulation and counterfeiting associated with agencies such as these.
As the public has became more educated and aware of the corruption the commission fails to control and expose, investors will reconsider investing, considering the scales have been tipped to favor one side over the other.
These agencies should be required to publicly disclose the FTD positions in every exchange, including those that do not have a reporting obligation under the Securities Exchange Act of 1934.
When the stock borrow progran was set up, it was not for the purpose of diluting the market with phantom shares. Nor was it set up for the purpose of driving developing companies out of business by driving the value of the company down through the false dilution that exists.
The commission needs to wake up and get a clue....investors are. Also, realize that the investing public is very much aware of the tactics that have been employed to sweep this problem under the rug.
The commission needs to do the job it was meant to do. In case any of you fail to realize what that is, its protection of investors, and preservation of investor confidence.
I can assure you, you have won no points on either of these objectives.
Do not live in the fantasy that this problem can continue, or will fade away. It will not. It has not, and has only gotten worse with the lack of enforcement and regulations.
Respectfully, the commission has only exacerbated the poor conditions of the market, brought about by lack of requirements for agencies such as these. You cannot use a napkin to wipe up a flood. I suggest the commission use flood walls to keep the rough waters from the destruction they will surely cause.