Activist investor and renowned short seller Andrew Left surrendered to authorities in Los Angeles on Monday. Left faces a storm of legal troubles and is scheduled to appear before Judge Rozella A. Oliver in U.S. District Court.

According to a CNBC report, the Justice Department issued a criminal indictment against Andrew Left on August 25. It charged him with 19 criminal counts. The Securities and Exchange Commission (SEC) has also accused laid charges against him. It accuses Lef of employing 'bait-and-switch' tactics.

Charges and Allegations

Left, who resides in Florida, is facing charges that, if convicted, could result in significant prison terms.

Known for his disdain for the 'irrationality' surrounding meme stocks like GameStop, the indictment states that he 'took contrary trading positions' to those he publicly endorsed. It further accuses him of 'misrepresenting his trading positions during public appearances on news programs.'

The Justice Department's press release stated, 'Left knowingly exploited his ability to move stock prices by targeting stocks popular with retail investors.

He posted recommendations on social media to manipulate the market and make fast, easy money.' This places Left at the center of a complex web of market manipulation strategies.

The Meme Stock Saga

Left was a notable figure during the meme stock craze of 2021. His publicized short positions in GameStop ignited the enthusiasm of retail investors and influencers like Keith Gill, famously known as Roaring Kitty.

Although Left and his firm Citron Capital survived the initial surge in meme stock popularity, they later withdrew from their short position when GameStop experienced another rally earlier this year.

Broader Implications

The Justice Department also highlighted Left's statements about other major companies, including American Airlines, Facebook, Tesla, Twitter, and Nvidia.

For Nvidia, the indictment alleges that Left posted a bullish price target from his Twitter (now X) account and subsequently cashed out early, netting a profit of $960,000.

Left's attorney, James Spertus, expects his client to be released from custody. However, prosecutors seek a bond amounting to 'several million dollars.' 'There's no reason for any bond in this case,' Spertus told CNBC.

SEC's Parallel Charges

The SEC's charges mirror the Justice Department's allegations. 'Left repurchased stock immediately after telling his readers to sell, and he sold the stock immediately after telling his readers to buy,' the SEC said in its press release. The regulatory body asserts that the price of the stocks Left targeted moved more than 12 percent on average.

The Justice Department said the Left' knowingly exploited his ability to move stock prices by targeting stocks popular with retail investors.

The financial world is watching the legal proceedings unfold closely. The outcome could set a significant precedent for market behavior and regulatory enforcement.