JXM let me explain exactly what the petition and the squawk is all about.
The rules state clearly by the SEC "No Own - No Sell" however, the SEC does not have the funding to go after anyone that evades this rules and regulations that are there to protect the American investors (long at short)
You own stock if you buy it or you borrow it. (I personally do not like the idea of borrowing someone else's property) However, the law says you can do it on certain stocks. The ownership is there regardless from the time you legally short because you have collateral to cover the trade.
Now offshore you do not have to own it to sell it. Thus that is the squawk ... Offshore you can naked short without borrowing the stock as collateral and evade the rules and regulations set up to make our market a leader in the world. Thus people take offshore 144 stock to presell it long before ever having to get the legend off. Also Convertibles can be taken off shore and again presold to gain an advantage by the price going down to convert for more stock.
You can not do any of this within America. Thus if we had proper transparency to enforce the existing rules and regulations it will not affect anyone but the ones that do not want to follow the rules and regulations of the market.
This why I can't understand why anyone is against this petition except those that are doing what the petition is asking to be transparent. I have read the petition over and over again and I can;t see who would not support it except those that do not follow existing laws.
Now to the petition wording sentence by sentence:
We, the undersigned, request immediate action to halt the destruction of our national financial system.
Nothing wrong with that I can see.
Whereas, both greedy American and off-shore anti-American interests are currently exercising their right to impose finanical sanctions by short selling our financial markets into oblivion.
Remember, possibly some big houses in America and especially Offshore trades do not have to own anything to short sell. Maybe there is something in that wording but I do not see it because it clearly states "No Own - No Sell" ... because of no transparency the short sell can be shown as a plain sell. Now if transparency is done aside from the only voluntary transparency that would go a long way to enforcing the rules.
Therefore we seek an immediate suspension of of all short selling until adequate safeguards can be implemented (a "No Own, No Sell" policy) to protect our markets and our investors.
This calls for transparency (adequate safeguards)that will nail all 144 shorted offshore and onshore, CDs manipulating the market by short selling offshore and onshore, and of course naked selling all together on/offshore because it is not borrowed and thus not owned. Merely enforce the existing rules and regualtion.
In order to insure Our Financial foundations safety, No Sale should be allowed without Proof of Ownership.
That proof is the transparency to clean up the markets from greedy in country houses. You own or borrow then no harm to you at all and it does not change the market what so ever except the position ot be reported. But if you do not have the borrowing or the cert then you can't sell in America. Again, such as shorting 144 or Convertibles till you have to show proof (transparency) the legend is lifted, and you are not using a CD agreement on the promise of stock based on stock price that the CD holder is short selling to get the most stock they can get. Thus any houses in america doing this get nailed through the transparency.
Further, we request that ADR sells and all sell orders generated outside the United States be accompanied by an electronic certificate of ownership or the actual paper certificate of ownership.
This is the transparency for the above except it specially targets offshore interests.
It is our considered opinion that if this action is not taken by the SEC to curtail short selling by off-shore hedge funds and openly anti-American interests immediately, these short sellers will continue to rob the American investor of hard earned money and destroy our financial markets.
That pretty much is self explainitory.
In the current unrestricted environment these short sellers can bring all of the indices down to ZERO.
The are no regulations for offshore and not transparency and thus the offshore have Karma Protection. (no restrictions and classes)
The time to act is now and save our Markets before it's too late!
Because of no transparency and no regulation there is a very good chance that with everything that is going on we are not protecting all our financial market borders.
This is why I am confused about anyone not like this petition. But hey that's me.
P2bAAAT & DSAS |
