RE:RE:RE:RE:RE:RE:RE:RE:RE:Any stock can be shorted BahahaWOW you really dont get it you are not purchasing 500,000 shares they are phantom shares made up they do not exist....
Naked short selling differs from normal short selling because naked shorting involves the selling of shares without having first borrowed the shares. Thus, the naked short seller is selling shares they do not own, and shares that aren't confirmed to even exist. If the seller is required to close their position, there are no borrowed shares to return to the original owner. This may result in the failure to deliver the shares.
A short and distort campaign involving naked shorting requires less capital investment, as the short campaigner avoids paying the borrowing fees typically required in covered short sales, and is not constrained by the existence of shares available to be borrowed.
If the short sale cannot be settled within two trading days of the order (T+2), it is a failed trade. However, the short seller has 10 trading days (T+12) to locate and deliver the shares before the failed trade must be reported to IIROC as an extended failed trade. There are no regulatory consequences for an extended failed trade, although an extended failed trade may prevent further short sales (either by the client or non-client with any ongoing extended failed trade in any security, or by the broker on its own account in the same security). Trades settled through CDS Clearing and Depository Services Inc. (“CDS”) are subject to CDS’ own settlement rules for failed trades. CDS imposes a daily fee for a failure to deliver shares to settle an outstanding settlement position in its continuous net settlement system and provides a buy-in process which allows a buyer who has not received the purchased shares to force settlement. However, these fees and buy-in requirements carry no regulatory sanction.
A short sale can be made by a seller who does not have an existing ability to settle the trade, so long as the seller has a “reasonable expectation” that it will be able to settle the trade. The “reasonable expectation” requirement in the policies accompanying UMIR 2.2, however, does not require that prior to making the sale the short seller actually locate and arrange to have the shares available for delivery on settlement. Rather, a “reasonable expectation” exists so long as the short seller does not know that it cannot borrow the shares and takes reasonable steps to locate them.
The Reasonable expectation is pushed to the limit by all the brokers every single day. Anyway again you clearly dont undertand how it works, and maybe should do a little bit of learning.