Fooling Some of the People All of the Time
Einhorn's years-long battle with Allied Capital — a company he publicly shorted while alleging accounting fraud. A short-selling masterclass and searing indictment of regulatory failure. The punchline: being right isn't enough when the institutional framework is working against you. Einhorn presented evidence of fraud at a public conference, the stock went up, and the SEC investigated Einhorn.
Being right about Allied Capital required Einhorn to document every SBA loan, every accounting footnote, every regulatory shrug, and he includes most of them. The middle two hundred pages read like a deposition exhibit. Allied is long dead, the saga settled, so you are studying a closed case file written by the plaintiff, who never doubts himself for a sentence.
The case for it and the rest of the canon open with Pro.
