So my fund manager earns a meager few percentage andmy...

So my fund manager earns a meager few percentage and
my investment got hammer say 50%. If they din't lend the shares out shorting can't be done in the first place.
So the fund managers are actually irresponsible and not acting in the members interest at all. Isn't that contradict the superfund rules by intentionally destroying the wealth of its members?
Another thing is this can be used to intentionally destroy
a company indirectly.