Markham Lee_

On Short-Sellers and Dishonest Executives

If the naked shorts are indeed using rumors and other illegal means to take down a company, then the root crime is market manipulation. Market manipulation in the form of lying executives, suspect accounting, etc, is no different from spreading lies to "take down a stock" (if indeed short-sellers are doing this). So people against the naked shorts should be against ALL market manipulators, instead of ignoring the ones that can cause stocks to go up.

Make sense?

The other issue is that lying executives know their companies are in trouble when they say things like: "We'll be profitable next quarter, don't need more capital, no more write downs, etc", while legal shorts are shorting companies that investors are dumping due to the companies being in trouble.

So who is the real menace?

-M