shorting, page-31

i do not see any problem moral or business by shorting companies that are using debt to further directors personel gain without contributing added value to the shareholders. fund are correct in demanding that directors disclose marginal loans. in fact such large marginal loans are most probably off sheet items anyway.
To be blunt thses large amounts of directors shares are most probably not in the interest of the shareholders anyway.
who pays the interest on these loans? directors or companies?