March 3, 2009
Dear Chairman Schapiro
The SEC adopted Rule 10a-1 (known as the Uptick rule) in 1938. The uptick rule prevents short sellers from adding to the downward momentum of assets already experiencing sharp declines. The key words are adding to downward momentum. This rule was in place for 69 years! The SEC eliminated the uptick rule on July 6, 2007. From that date on the market has fallen like a rock. What is everyone waiting for?
Reinstate the Uptick rule NOW!!! Not next week, not tomorrow, not this afternoon, but NOW !!!
The rational for eliminating the rule was that it was unnecessary. That is all, it was unnecessary!! Can no one see that it may very well be necessary. Reinstate the Uptick rule NOW.
Sincerely,
Tom Ivan