Short-Seller Left Didn’t Make ‘Sense,’ Cronos CEO Testifies (1)

The chief executive officer of a Canadian cannabis distributor told jurors at the US criminal trial of Citron Research founder Andrew Left he was stunned when the prominent short-seller issued a report saying the company was overvalued, prompting shares to plunge.

Cronos Group Inc. CEO Mike Gorenstein was the first witness Tuesday in the US government’s case against Left, who is accused of misleading investors by making quick trades after issuing his recommendations. Gorenstein said Left’s report in August 2018 alleged Cronos was misleading investors about its distribution commitments. The CEO said the company had actually disclosed supply agreements, which ...