Logic tells me, NO. The open short shares are borrowed shares from an owner whose shares are held by a brokerage firm in the owner's name. Naked shorts have no ownership of anything. So they could possibly maintain their position.

However, distribution of dividends is an entirely different situation. They would be liable for the dividend.

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One question I do have right now deals with open and naked short positions. Do these folks have to close their short positions since they will not be entitled to vote their short shares? Anyone know the answer?

Read More: http://investorshangout.com/post/view?id=3292...z3pTfxi9NJ

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