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by infinite8s 3594 days ago
Why would Eve worry about being caught? Everything you've outlined is perfectly legal, and in fact was executed brilliantly by Porsche (http://www.reuters.com/article/us-volkswagen-idUSTRE49R3I920...) in 2008.
3 comments

> Although some short squeezes may occur naturally in the market, a scheme to manipulate the price or availability of stock in order to cause a short squeeze is illegal.

https://www.sec.gov/investor/pubs/regsho.htm

executed brilliantly by Porsche

Didn't really work out for them in the end. They executed the short squeeze to acquire VW but they're owned by VW now.

http://www.automobilemag.com/news/porsche-and-volkswagen-wha...

There are two Porsche companies. Porsche AG (the car company) is controlled/owned by Volkswagen AG, but there's also Porsche SE (holding company). The latter controls a 50.7% majority of voting rights of Volkswagen AG, for 31% of share ownership. The families of Porsche-Piech own 50% of Porsche SE, but 100% of the voting rights.
TL;DR Banks stopped lending to Porsche before it could seal the deal because 2008 happened.
And Angela Merkel herself dissuaded the sheikh from lending Porsche money!
My understanding of securities law is that intent is 95%. If you're doing market manipulation "just to make money" (instead of, say, to buy a company? Not really sure) then it's illegal.