RE: RE: Shorters ....naked..........be forwarnedOn September 22, 2008, the Investment Industry Regulatory Organization of Canada(
IIROC IIROC Investment Industry Regulatory Organization of Canada )published a Reminder Respecting Obligations in the Conduct of Short Sales (theIIROC Reminder) reiterating that "
naked short sellingNaked short selling, or naked shortingrefers to the practice of selling a stock short without first borrowing theshares or making an "affirmative determination" that the shares can be borrowed.
.....Click the link for moreinformation." in Canada is prohibited. As stated in the IIROCReminder, "under Rule 2.2 of the Universal Market Integrity Rules (UMIR), aParticipant or Access Person will be considered to have engaged in manipulativeand deceptive behaviour if the Participant or Access Person enters a sell orderon a marketplace without having the reasonable expectation of settling any tradethat would result from the execution of the order".