Subject: Reference File No. S7-24-99 Author: "Lisa" at Internet Date: 12/05/1999 2:38 PM Reference File No. S7-24-99 December 5, 1999 I write this email in support of the adoption of regulations on short sales of stocks outside of the NASDAQ market. The prices of OTC:BB stocks have been greatly manipulated and good companies are being held down by such manipulation. Without regulations put in place, the average investor's chances of realizing any profits by investing in smaller companies not yet on the NASDAQ are greatly diminished These investors are losing money on good companies with the potential for great futures every day. Not only are the investors greatly hurt, so are many promising companies. I believe the biggest threat to the OTC:BB market is the illegal shorting (selling non-existent shares) that goes on by market makers and foreign brokerage firms. This practice is fraudulent and should not be allowed to go on in the OTC:BB market. When market makers can sell unlimited non-existent shares, how can true market value ever be established. I believe the SEC should take a serious stand on this issue and start protecting the public from such blatant acts. The SEC should regulate short sales in these markets as they do for listed stocks. This corruption needs to be stopped. We need to protect the rights of the individual investor, so I strongly feel the SEC should pass these necessary regulations. Sincerely, Lisa Ulshafer