Short and Distort, page-139

Properly managed shorting may be OK, but when we see some of the shenanigans that are currently happening, it turns smaller investors away.
US shorter specialist releases factually wrong info about a company and shorts it . Share price goes down further than can be justified and potential investors stay away. Legal proceedings under way.
Shorters active on numerous smaller resource companies as they realise that they can push the price down by selling small volumes at carefully chosen times, often using bots. Again investors stay away.
Smaller companies often forced to raise money at prices lower than normal.
Often shares are borrowed from funds without the owners of the shares knowing about it. There is little transparency and no reliable up to date short positions available to the market.
The ASX should probably limit shorting to companies with large MC’ s , and provide reliable and current data on short positions.