US indicts Andrew Left in $16 mln stock market manipulation scheme
Source: Reuters
July 26, 2024 8:36 AM EDT Updated 4 hours ago
WASHINGTON, July 26 (Reuters) - A federal grand jury has indicted prominent activist short seller Andrew Left on multiple counts of securities fraud for a long-running $16 million market manipulation scheme, the U.S. Justice Department said on Friday.
The indictment, filed on Thursday, said Left "commented on publicly traded companies, asserting that the market incorrectly valued a company's stock and advocating that the current price was too high or too low," the Justice Department said in a statement.
Left, 54, of Boca Raton, Florida, made recommendations as a commentator on multiple cable business news channels, on his X social media account and a website, it said.
"The commentary routinely included sensationalized headlines and exaggerated language to maximize the reaction it would get from the stock market," the department said.
Read more: https://www.reuters.com/legal/us-indicts-andrew-left-16-mln-stock-market-manipulation-scheme-2024-07-26/
Link to DOJ PRESS RELEASE - Activist Short Seller Charged for $16M Stock Market Manipulation Scheme
Short article at post time.
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Harker
(14,582 posts)moniss
(4,902 posts)on a constant basis? All while buying and selling stock and arranging financing/terms for his companies? Manipulation for this one but not for that one? How many lies did Musk tell and false promises made over the course of Tesla in order to, for example, generate "pre-orders" and then use those numbers to drive the stock price? People learned the hard way long ago that when he makes a big promise with a date for it to happen you might as well figure it's going to be way past the promised date. What ends up getting delivered may well be a shadow of the earlier promise as well. I'm not defending Andrew Left but it would appear on it's face that the reasons stated for what he did being illegal would certainly push over to Musk and especially given the track record and his position in the companies.
moonshinegnomie
(2,818 posts)he would tell hedge funds hes going to send a tweet about.a stock
hed get short it and so would teh hedge funds
he would then cover the short within days of his tweet after it fell and so would teh hedge funds
the funds would send him a percentage of teh profits.
he even commented to a colleague that he expected retail tarders to slame teh stock so he could cover his short and called it liek taking candy from a baby
you really dont want to screw around with the SEC incases liek this
he will end up being hit with a massive fine (including any and all profits he made) plus probably a long time in jail (up to 25 years) and a permanent trading ban. its not the first time hes been involved in something like this i think it was hong kong that went after him 10 years go for a similar thing.