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Re:Class Action Lawsuit Filed Against Robinhood by krastanov on Thursday January 28, 2021 @05:33PM (#25950423)
Wait, this is a pretty gigantic claim that needs some backing. There are examples of the SEC instituting temporary bans on short-selling, but this is the closest thing I can find to your claim.
Re:Class Action Lawsuit Filed Against Robinhood by silexia on Thursday January 28, 2021 @05:40PM (#25950533)
https://www.sec.gov/investor/pubs/regsho.htm. Control plus F "short squeeze". Intentional short squeezes like what is happening in GME is illegal.
Re:Class Action Lawsuit Filed Against Robinhood by krastanov on Thursday January 28, 2021 @05:43PM (#25950566)
> Although some short squeezes may occur naturally in the market, a scheme to manipulate the price or availability of stock in order to cause a short squeeze is illegal.

It says market manipulation is illegal. It is not particularly clear whether a message board getting excited about a short squeeze does not count as something that "may occur naturally".