From: SPerry@TULLIB.COM
Sent: Tuesday, December 02, 2003 4:23 PM
To: rule-comments@sec.gov
Subject: file no. s7-23-03

Dear Sir,

I am writing concerning the proposed rule changes to combat the widespread
naked short-selling occurring in the market currently and particularly in
the apparently 'unregulated' otc-bb market.

In the past 3 years I would estimate that this uncontrolled practice and the
refusal of the SEC to even acknowledge let alone deal with
this problem has cost me in excess of $100,000.

I have continually contacted the SEC who has done nothing until now about
this pandemic problem.

They have allowed widespread fraud to occur under their noses and I am
disgusted by it.

The rules laid down in the 1933/1934 securities act have not been enforced
and the market crooks have run rampant as a result.

Any rule changes are pointless if they are not going to be enforced...why
not start with correctly policing and enforcing the existing rules
especially those regarding affirmative determination and buy-in regulations,
before looking to add more legislation.

I have lost faith in the markets and the SEC's ability to patrol them. The
SEC's ineffectual behaviour and 'caveat emptor' attitude have cost myself,
the investing public and countless small companies an incalculable amount of
money. 
How many companies have been driven out of business by having their ability
to raise capital destroyed by the manipulators.

Where have these ill-gotten gains gone ?  What are the implications for the
IRS ? 

If a company has to file with the SEC to increase its' issued and
outstanding how can the SEC possibly allow offshore shorters to play with
the float with impunity ?

Let's start by doing a better job of enforcing the rules that currently
exist...then and only then will we see if more is needed.

Also. make the fines commensurate and proportional to the crime....if a
fraudulent market maker can make millions of dollars a year by not
practicing affirmative determination do you honestly believe that a $20,000
fine is going to punish or prevent them from future transgressions. The SEC
is in effect encouraging them to carry on....Fine them a million dollars per
crime and see how many repeat it.

Finally, please, please look at the sad sorry story of PCBM.

How can the SEC look the investing public in the eye and tell them that they
have fulfilled their duty to them to protect them...they have not, and
millions of dollars have been literally stolen from investors such as myself
and all right under the noses of the SEC.

It is a national embarrassment that has become an epidemic.  Please put an
end to it once and for all.


Yours faithfully,
Simon Perry