I always wondered what people thought of Rene Rivkin, good guy...

I always wondered what people thought of Rene Rivkin, good guy bad guy?

Ha! Personally I thought of him as a lovable rogue. There is no equivalent today. He stirred, was cheeky, and flaunted his success which enthused many to seek their fortune on the market. He had a common touch, which sort of implied than anybody could make a fortune in the market. I suspect his success came down to having the right people on his team. I never detected any real hostility towards him. Unlike today where successful people are hated by many.

Frankly I find it hilarious that the shorters got caught out so badly. I wonder if they went broke trying to service a %5500 debt, and would have to pay dividends to the lender as well!
They got caught because there was no regulation of shorting then.

How is it possible for a stock to be 105% shorted..
There was no regulation, so anybody could just short to their heart's content. It all came to a screeching halt after the Antimony Nickel affair.

Is it possible to short penny stocks on the ASX or is it banned? What percentage of FMG under regulation could be shorted? there isn't enough scrip to cover that?
The regulations are tight now, both on the stocks that can be shorted, and the quantity. I have not checked the official list recently.

what conclusions do you draw from the 9% short on FMG in your analysis of the stocks value
It is likely to be supportive of the company in the end. Those shares all have to be bought back at some point.
Some people not familiar with FMG's history may be hoping for an issue of shares at a low price to raise money. That won't happen and all the shorted shares will have to be bought back. If the 9% is correct thats 280m shares.
Never forget that a short is a contract to deliver shares to the buyer. Full stop. That contract has all the legal force of the contract to buy or sell your home.
Also, the doomsayers would have us believe that the shorters are making lots of money, but the big funds are not doing that. A recent list of hedge fund returns in the US was very disappointing, with most failing to beat the index.