Nate Anderson, who announced the closure of his nearly eight-year-old research-investment company Hindenburg Research, is facing questions over his alleged links with ‘hedge funds’. A Canadian portal gave this information citing documents filed in an Ontario court.
Hedge funds and Hindenburg’s alleged connection
A hedge fund is an entity that earns profits in various types of investment activities by receiving funds from large investors. In court documents filed as part of a defamation suit, Moez Kassam, head of Canada’s Anson hedge fund, said his company had shared the research ‘with various sources’ including Hindenburg’s Nate Anderson.
Claim to share reports
The documents also revealed that Hindenburg had colluded with the Anson Fund while preparing his report. Producing bearish reports without disclosing involvement risks being charged with securities fraud by the U.S. Securities and Exchange Commission (SEC).
Screenshots revealed
The website claimed to have shared screenshots of email communications between Anderson and Anson Funds, proving that Anderson was indeed working for Anson Funds and published what he said. This communication was obtained through documents available in the Ontario Court.
Only 5% of documents reviewed
The website also reported that it had only reviewed 5% of the available documents. Based on this, it is likely that Anderson may face securities fraud charges during the SEC’s investigation in 2025.
Hindenburg’s statement
According to Business Today, Hindenburg initially defended his independence, saying that he receives leads from a variety of sources such as industry experts, whistleblowers and investors and rigorously investigates all leads.
Hindenburg Research closed
Last week, Nate Anderson announced the closure of Hindenburg Research. The company attracted worldwide attention in 2023 with its explosive reports on billionaire Gautam Adani’s group, leading to political controversy and financial losses. Anderson did not give any specific reason for Hindenburg’s captivity, but expressed a desire to spend more time with family and friends in the future.
