News agency PTI reported that Hindenburg Research founder Nate Anderson, who announced the closure of the short-selling firm last week, may be charged with securities fraud. Based on the Canadian portal, the report further said that Anderson is under investigation for colluding with hedge funds to create reports targeting various companies, based on the documents filed in an Ontario court.

Documents filed in a defamation case at the Ontario Superior Court reportedly revealed that Moez Kassam, the head of Canada’s Anson hedge fund, admitted to sharing research with multiple sources, including Hindenburg’s Nate Anderson, according to the portal.

The Market Frauds portal, referenced in the PTI report, stated that the court documents "allegedly revealed" that Hindenburg Research "colluded with Anson" while preparing the report.

The portal also noted that preparing a bearish report without disclosing such participation could be considered securities fraud by the US Securities and Exchange Commission (SEC). While it is typical for short-sellers to borrow securities, sell them on the open market, and later repurchase them at a lower price following the release of adverse reports on companies, the involvement of hedge funds raises significant concerns. Such funds may engage in parallel bets that intensify the downward pressure on stock prices. Anderson, Anson and Kassam have not yet issued any statements regarding these allegations.

 "We know for a fact, from the email conversations between Anderson and Anson Funds, that he was indeed working for Anson and published whatever they told him to, from the price target to what should and shouldn't be in the report", the portal said, quoting PTI. "He asked them multiple times if they needed 'more'. From what we can see in the dozens of exchanges, at no time did he have editorial control. He was being told what to publish," the portal proclaimed.

The Market Frauds portal also shared screenshots of alleged email exchanges between Hindenburg Research and Anson to substantiate its claims. It stated that these screenshots were accessed through documents available with the Ontario court.

"There are multiple counts of securities fraud for both Anson Funds and Nate Anderson, and we have only gone through 5% of what's in there as of the time of writing," the portal displayed.

"From what we have read so far, it is almost a certainty that when the whole exchange between Hindenburg and Anson reaches the SEC, Nate Anderson will be charged with securities fraud in 2025,” it further displayed.

The report further mentioned that when the connection between Hindenburg and Anson was first brought to light, Hindenburg Research clarified that it receives “hundreds of leads each year from diverse sources," including whistleblowers, industry experts, and other investors.

The research firm emphasised, “We rigorously vet each lead and have always maintained full editorial independence over our work.”

The portal highlighted a case involving a report published by Hindenburg Research about Facedrive. This Canadian company entered the market via a reverse merger as an eco-friendly ride-sharing service. The report accused Facedrive of being overvalued and excessively compensating its promoters.

According to the portal, Anson allegedly communicated with Anderson regarding the Facedrive report. The court documents reportedly disclosed that the hedge fund was aware of the report’s publication timeline.

Last week, Anderson announced the closure of Hindenburg Research. The firm gained prominence in India after publishing a critical report on billionaire Gautam Adani’s conglomerate, the Adani Group.

In a detailed statement, Anderson explained that the firm’s objectives had been fulfilled, saying it was “time to move on.”

"As I’ve shared with family, friends and our team since late last year, I have made the decision to disband Hindenburg Research," he said in a posted blog.