SEC Charges Andrew Left and Citron Capital in Alleged Short‑Selling Scheme

The SEC is always on the alert for abusive short-selling practices. It commenced an enforcement action against activist short publisher Andrew Left and his firm, Citron Capital, LLC (Citron). The Commission accused Left and Citron of engaging in a fraudulent scheme to persuade readers of their research reports and recommendations to trade in the same direction as their predictions – while concealing their intent to trade in the opposite direction after their information had moved the stock price. This article details the SEC’s allegations and the DOJ’s parallel indictment of Left. See “SEC Charges Recidivist Adviser in Abusive Short‑Selling Scheme” (Mar. 14, 2024).

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