It is utterly amazing to me that any market maker I know or know of, any professional within the industry, just laughs when they here people talking about naked short selling stocks trading under $.05. Yet penny speculators seem to actually believe someone is short selling their stocks.
Market makers have a short window, a very short window, in which they can short stocks but they have to cover within that window.
There are as there always have been scam operators out there, but the idea that there is consistent naked short selling of penny and sub penny stocks seems unproven and not even probable as much as many seem to believe.
News 
Market Data 
Discover 
