naked short selling, page-28

123enen

I've had a brief look at Section 1020B and the ASX rules regarding short selling - without looking at it in detail it seems to me that a short seller is still required at the time of the sale to have arrangements in place to have the ability to deliver the securities on the settlement date, otherwise fines (and we're not talking the mickey mouse fees that the ASX imposes) and/or prison sentences can be imposed.

Interesting also that the onus is on the defendant who short sells to prove that they had complied with the requirements in relation to the exemptions. And there I was thinking it was only under tax laws that you were guilty until proven innocent.