Activist short seller Andrew Left told jurors in his criminal securities fraud trial that there is nothing improper about profiting from stock-price moves following his research reports or social media posts, according to report by Bloomberg.
“It’s the stock market,” the Citron Research founder testified Tuesday in Los Angeles federal court. “I say what I believe. I speak truth.”
Left, 55, is accused by US prosecutors of manipulating stocks through market-moving posts and reports while quickly trading around the resulting price swings.
Taking the stand in his own defence, Left argued there is no legal requirement to hold a position for a set period after publicly commenting on a company.
“There is no specific period of time… you have to hold the position after you make a comment,” he said.
Prosecutors allege Left privately traded against impressions he created publicly, including around his commentary on Tesla. Left denied ever publicly promoting stocks while secretly betting against them or criticising companies while holding long positions.
The closely watched case is seen as a major test of the legal boundaries surrounding activist short selling and social-media-driven market commentary.
Jurors could begin deliberations later this week in the case, US v. Left, in federal court in Los Angeles.
