Publication

“SEC Extends Emergency Orders Relating to Short Selling”

On October 1, 2008, the Securities and Exchange Commission (“SEC”) announced that it was extending its emergency orders issued on September 18, 2008 relating to certain short selling prohibitions, as well as its September 17, 2008 order strengthening the ban on “naked” short sales. The SEC’s action was intended to provide clarity, prior to passage of the Emergency Economic Stabilization Act of 2008, regarding the future expiration of these orders. These SEC orders, each of which is described in further detail below, are being extended through 11:59 p.m. Eastern Time on October 17, 2008, with the exception of the emergency order prohibiting short selling of securities in financial institutions, which is being extended through 11:59 p.m. Eastern Time on October 8, 2008.