Date:    4/6/99  1:43 PM

Subject: S7-5-99

Dear Sir:
     
Your proposal to amend Rule 15c2-11 to require market makers in OTC 
Bulletin Board and Pink Sheet stocks to become the fraud police would 
have a harmful impact on the marketability of small company shares. 
These are the companies that provide the life-blood of our economy.
     
There is reason to believe that the rule may even increase the level of 
fraud.
     
As for the SEC, if it is unable to do its job, the task should be given 
to another agency-not to the private sector.
     
Think this through before you make a terrible mistake.
     
Sincerely,
     
Paul Sebastian
Chairman, First Star Bancorp, Inc.
Bethlehem, Pa.