Spinning again. I said quite clearly, MANY times - that is not illegal.
If you own shares in this stock, any good broker will help you short against them. It is when you short without borrowing that it becomes illegal.
If I had millions of shares of CSHD, but could not sell them outright when the stock went up 1000%, because it would jeapordize my beneficial ownership....
AND if I knew that very soon I would no longer be the control person for that company...
I would short the whole pile of 'em and cover after the merger. I would make $50 million, and it would all be perfectly legal. After I resigned, I would hand over my shares - thereby covering FOR FREE.
You see, what some of you newbies don't understand - legitimate shorting is a HEALTHY WAY to make money. All the real traders do it - especially when the market is down. You would be more credible posters if you would stop freaking out and calling everyone short. Chances are, they're making WAY more cash than you.