On 14 June 2010, the European Commission (the “Commission”) published a public consultation to aid the finalisation of proposals on stand alone legislation dealing with short selling (the “Consultation”).1 The Consultation aims to: 1) consider policy options in respect of rules that will increase the transparency of short sales, 2) reduce the risks of uncovered (naked) short selling, and 3) provide emergency powers for competent authorities to impose temporary short selling restrictions. It also gives some consideration to the role that the European Securities and Markets Authority (“ESMA”) may play in this regard.