Short-seller Andrew Left launches second appeal against trading ban in Hong Kong
- The two-day hearing will take place at the Court of Appeal of Hong Kong from January 30
- Lawyer representing Andrew Left said case has ramifications for free speech
American short-seller Andrew Left, head of Citron Research, has launched a second appeal against a ruling by the Market Misconduct Tribunal for publishing a false report on Evergrande Real Estate Group in 2012, according to his lawyer Timothy Loh.
The hearing will take place at the Court of Appeal of Hong Kong on January 30 and 31, Loh told the Post.
The significance of the case is that it marks the first legal action of the Securities and Futures commission against a short seller with ramifications for free speech, Loh said.
“The market represents the consensus opinion of its participants. These opinions are not only based solely on information from the company itself but also act as a check on the quality, completeness and truthfulness of that information,” Loh said in a statement.
“Because companies have a monopoly on the dissemination of information about themselves, any judicial decision which restricts market participants from expressing their opinions freely as to the quality and meaning of such information impairs the ability of the market to regulate company disclosures,” Loh said.
The SFC investigation found that Left made a profit of about HK$1.7 million (US$216,737) by shorting 4.1 million Evergrande shares before issuing a scathing report on the company on June 21, 2012.