SEC Sues Andrew Left and Citron Capital for $20 Million Fraud Scheme Involving GameStop, Nvidia, and Tesla

Jul 26, 2024, 12:43 PM

The U.S. Securities and Exchange Commission (SEC) has filed a lawsuit against Andrew Left and his firm, Citron Capital, alleging a $20 million fraud scheme. The complaint accuses Left and Citron of manipulating the market through misleading reports, social media posts, and trading practices. Federal prosecutors have also charged Left with securities fraud, claiming he made exaggerated or misleading statements about stocks to turn a quick profit. The SEC alleges that Left used his Citron Research website and related social media platforms on at least 26 occasions to publicly recommend taking long or short positions in 23 companies. Additionally, Left is accused of lying to investigators about his ties to hedge funds and coordinating trades in advance of issuing his commentary. The indictment claims Left manipulated prices of 15 stocks, earning $16 million, including companies like GameStop, Nvidia, and Tesla.