A naked short is by definition the sale of stock without ``borrowing`` the stock as is required by a legal short. Hence, there is no borrowed stock on which a dividend must be paid. The naked short has to cover sooner or later but I can see no reason they would have to pay a dividend. This ``short issue`` re PTSC is bogus. Shorting on the Berlin exchange would have to be reflected in the volume there which has been trivial.