Corus Bank

August 14, 2008 7:33 AM Did the SEC's Plan To Get Shorty Work?by Elizabeth MacDonaldSelect rating Poor Okay Good Great Awesome No votes yetComments »Did the SEC's plan to stop naked short selling abuses in 19 stocks work?The jury is still deliberating, the results so far are mixed.Stocks in many of the companies on the list actually rose during the ban, but the stock market took shares down in others due to problematic balance sheets and poor risk management controls.The Securities and Exchange Commission's emergency move to outlaw naked short sales in shares of 19 financial stocks went into effect July 15 and expired Aug. 12. Short sellers were forced to actually have borrowed stock in hand before executing a short sale.SEC Chairman Christopher Cox said that the agency wanted to stop certain stock price manipulations, as volatility in the financials is at historic levels.SEC Moves to Make Ban PermanentThe SEC is moving to permanently outlaw naked short-selling for all stocks and has a...

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