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What: Shares of Amira Nature Foods Ltd (NYSE:ANFI) were getting tossed again today, falling as much as 15%, and finishing down 14% following a short-seller report in Seeking Alpha.

So what: Shares of the Indian natural food seller dropped 5% yesterday, and the sell-off continued today, with the stock falling especially hard toward the end of the session. In a report released yesterday, short-seller Arihaan Capital, which has attacked Amira before, accused the company of blatant mistatements in SEC filings, the existence of an undisclosed related party, and a discrepancy between the financial results reported to the SEC and those filed in India.   

Now what: Amira stock is heavily shorted with more than 45% of shares sold short. The stock appears to have been caught up in the recent momentum sell-off, as the share price is down by nearly half after it missed earnings estimates in its last report. Arihaan brings up some potentially damaging claims, but fraud accusations, especially from short-sellers, tend to be overzealous and much more common than actual fraud. No investigations have been announced against Amira, but a recent change in auditors has also sparked some suspicion of foul play. With today's continued sell-off, it seems time for management to come out and defend the company against such claims. I'd expect to at least hear a rebuttal when the company reports earnings within the next few weeks.

Jeremy Bowman owns shares of Amira Nature Foods. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.