Our Revolution Begins
COUNTERFEITING APPROVED BY FEDERAL GOVERNMENT???
By Clifford Olson
Based on the approvals of the Securities and Exchange Commission, I can now
create BILLIONS OF DOLLARS in counterfeit money and spend it in the market place
and there should be no penalty. In fact, when the United States Treasury
Department hears about it they will just make a new rule saying that if it is
done in the future it will have to be repaid within 13 days but they will
“grandfather” what I did before the new rule and not prosecute me. The reason
they would not prosecute is that they would not want the stores that took the
counterfeit money to benefit from the recovery. Yes, the stores would complain
that they lost money and some would even go bankrupt but the Federal Government
would just say, “They are just trying to make a profit so we are not going to do
But just think, my friends and I could make BILLIONS OF DOLLARS free and clear
and I would not have to pay back any money because most of the stores went
bankrupt and they do not need the money anymore according to the Federal
In fact one of the real reasons why the Federal Government including the White
House, Congress and the Attorney General will not do anything to me and my
friends is because they are such good friends of ours that they would not want
to make us upset and force us to pay back the money by redeeming the counterfeit
money. So we and all our friends in Washington are happy with our ill-gotten
billions of dollars. So now when Washington “sho’s” us that we are not to do it
again, that is all right.
May I counterfeit money and not be charged with a crime? No, it is against the
law because I am just an ordinary citizen. But if I were a member of an elite
group of Stock Market Executives and Securities and Exchange Commission
Officials I might be able to get away with it.
Yes, this has happened in the marketplace. Many individuals, hedge funds, and
others have sold shares that they do not own. This is called “selling short.”
When this is done it is called “barrowing stocks” and they are supposed to pay
back by buying stocks to replace the stocks that were “borrowed.” When the
number of shares that were sold “short” exceed even the number of shares in
existence that could be borrowed, this is called “Naked Shorts.” So the person
or organization who sold the shares “Short” and does not pay back what was
“barrowed,” keeps the money in their account.
At the same time that those stocks that were sold “short” they were then traded
to other buyers who buy the shares “in good faith” from their broker. The stocks
that they bought are usually kept in “street name” by their broker BUT THERE IS
NO STOCK CERTIFICATE AVAILABLE. The broker can not produce the certificate
because the stock that was sold to the unsuspecting buyer does not exist.
So the stocks sold as “Naked Shorts” were ACTUALLY COUNTERFIET STOCKS AND THOSE
COUNTERFIET STOCKS ARE RESOLD BY THE TRADING COMPANIES.
Who gains by this?
1. The individual who sells the stock short and does not buy back the stocks
that were “borrowed.”
2. The Securities and Exchange Commission because they charge a fee for every
sale that takes place in the stock market.
3. The central trading organization such as the DTCC who receive a fee for every
(No wonder the SEC and the DTCC does not do anything about it because they make
millions of dollars in these illegal sales.)
The S.E.C. Regulation Sho was to stop the Naked Shorting when it came into
existence in January, 2005. But the S.E.C. apparently has no will or way to
enforce it so there are companies that have experienced Naked Short sales since
then and there has been no action taken to replace the shorts. (Since February,
2005, Global Link’s shares [GLKC-PK] has had approximately 60 times the number
of authorized shares sold short and it appears that the S.E.C. has done nothing
to get those shares bought back. That is Naked Short Selling at it best.)
Going back to the example at the beginning of this letter, The S.E.C. has
apparently “grandfathered.” all Naked Shorting that took place prior to January
2005 and will do nothing to require those Naked Short Sales to be replaced. THIS
IS EQUAL TO GIVING GOVERNMENT APPROVAL TO THE COUNTERFEITING OF STOCK
THE “GRANDFATHERING” OF PAST NAKED SHORTS IS ILLEGAL, WRONG, AND MUST BE
REVERSED BY THE S.E.C. Those persons and/or organizations which sold short and
have not bought back the shares should be charged with Felony Theft and any
person in any brokerage house or the SEC who condone it should be considered
accomplices after the fact. In the meantime they MUST be required to buy back
According to the March, 2005 issue of Euromoney Magazine, S.E.C.‘s Annette
Nazareth’s “assistant James Brigagliano said that prior lawbreakers were
’grandfathered’ because ‘we were concerned about generating volatility where
there were large pre-existing open positions, and we wanted to start afresh with
new regulation, not re-write history.’” (Quoted from StockGate: “23 Reasons Why
Four Powerful Senators Say Regulation SHO is ‘not working.’”) This reminds me of
the little boy who put his hand in the dike thinking that he will stop the
flood. Mr. Brigagliano’s comment is just that. If this is not resolved soon the
consequences will be even greater when it is resolved. Mr. Brigagliano, this is
not going to go away. He and members of Congress should take off their
blindfolds and/or take their heads out of the sand. ALL GRANDFATHERED NAKED
SHORTS MUST BE RESOLVED SOON SO IT DOES NOT GET ANY WORSE IN THE MARKET PLACE
AND IN THE CONFIDENCE OF THE INVESTOR.
It was Annette Nazareth of the S.E.C. who allegedly said, that persons who are
complaining about the Naked Shorting and wanting something done about it are
those “who just want their stock to go up.” No, Ms. Nazareth, the people DEMAND
JUSTICE AGAINST COUNTERFEITING AND THEFT IN THE STOCK MARKET. It is simply the
fact that the shorted stocks MUST be replaced and as quickly as possible. (If
the brokers or hedge funds loose money in doing so, that is their problem for
counterfeiting in the first place. They are the ones who gambled that the stocks
would go down in price when they sold short.) But Ms.Nazareth has forgotten that
it is the little investors who have lost out on their stock investments because
the Naked Shorts have driven down the prices of the stocks.
ALL NAKED SHORTS MUST BE REDEEMED NO MATTER HOW LONG AGO THE SALE OF THE SHORTED
STOCKS TOOK PLACE.
In May 2005, a lawsuit against the Depository Trust & Clearing Corporation
(DTCC) was dismissed in State Court in Nevada for participation in the Naked
Shorting of stocks because the judge said the DTCC was acting on the authority
of the Securities and Exchange Commission. Therefore Congress must act to see
that the Securities and Exchange Commission cease and desist from allowing the
existence of the Naked Shorting of stocks to continue and this must include the
resolution of ALL GRANDFATHERED NAKED SHORTS. In the case of Nanopierce
Technologies vs. DTCC the Nevada’s Second Judicial District Court in Reno ruled
that, in effect, the problem was with the S.E.C. and not the DTCC.
So Congress, it is up to you to get the S.E.C. in line and require the S.E.C. to
resolve all Naked Shorts including but not limited to all Naked Shorts that were
“forgiven or grandfathered” by the S.E.C.
What should Congress do?
Perhaps they should pass legislation requiring the S.E.C. to take the following
action after 13 days, the suggested fines and resolutions required should be as
1. The S.E.C. collects a fine from the Broker/entity identicaly equal to the
funds received when the shorted sale took place. Every thirty days (30)
thereafter the same fine should be exacted until the shorted stocks are
2. As for all past Naked Shorts including those grandfathered by the S.E.C.,
Congress should require that the S.E.C. charge a fine equal to the amount
collected by the entities who sold short after 30 days from the effective date
of the law. Every thirty days (30) thereafter the same fine should be exacted
until the shorted stocks are replaced.
3. At all times and in every case all entities who sold shares short must
replace them at the current market price so as to avoid additional fines.
Thank you for allowing me to discuss this with you.
You may also find additional information on the subject at
Clifford A. Olson American Citizens – I implore you to Stand Up and Get Involved…
One United Voice can make a Difference...
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