FYI.
----- Forwarded by Alan Aronowitz/HOU/ECT on 09/13/2000 11:07 AM -----

	Paul Simons
	09/13/2000 09:16 AM
		 
		 To: Gary Hickerson/HOU/ECT@ECT, Jeff Kinneman/HOU/ECT@ECT, John 
Greene/LON/ECT@ECT, Sheila Glover/HOU/ECT@ECT, Janine Juggins/LON/ECT@ECT, 
Mahesh Lakhani/LON/ECT@ECT, Mark Evans/Legal/LON/ECT@ECT, Andrew 
Cornfield/LON/ECT@ECT
		 cc: John Sherriff/LON/ECT@ECT, Michael R Brown/LON/ECT@ECT, (bcc: Alan 
Aronowitz/HOU/ECT)
		 Subject: Bond & Equity Trading

I have just received the letter SFA promised us.  SFA have accepted our 
argument that our proprietary bond and equity trading can be carried on in 
London through an unregulated UK entity.  The letter also states that SFA 
will not be applying their consolidated capital supervision rules to the 
unregulated entity, which they have the discretion to do.

From a regulatory perspective this means we can move ahead at full speed to 
set up an appropriate Chinese Wall and then begin trading.

Best regards

Paul