Flynn, that is exactly why, computer bots constantly scan the market looking for low cap penny stocks that seen a big up move in price, because they now that in most cases short selling can manipulate the price down.
It has become rampant since the down tic rule was removed, Previously a stock could not be shorted if the price was on a down tic during the day. Now shorts can just keep selling and drive the price down all day long
market makers don't have to report shorts under the short exemption rule.
The other trick is there is 3 days to settle a trade so many traders or market makers, computer bots will short a stock and cover the same day or next, so they don,t have to report a short position. They will even make a wash trades with their short buddies during the 3 day period to avoid reporting
Zonte Metals Inc. has closed its previously announced non-brokered private placement offering of units. The company issued 13.5 million units at a price of 10 cents per unit for gross proceeds of $1.35-million. Each Unit consists of one common share and one-half ( one-half) of one share purchase warrant, with each whole warrant entitling the holder to acquire one additional common share upon payment of the exercise price of $0.18 on or before July 31, 2018. The Company intends to use the proceeds of the Offering for working capital purposes.