Overstock gets subpoena

Salt Lake-based Overstock.com Inc., which has accused a research company of conspiring to drive down its stock, received a subpoena from the U.S. seeking information about its allegations and accounting policies.

The Securities and Exchange Commission's subpoena requested information about Overstock's complaint against Gradient Analytics Inc., an Arizona research company that it sued in August, Overstock said.

The SEC also asked for documents about the company's accounting policies, financial projections, communications with analysts and communications about "naked" short selling.

Patrick Byrne, Overstock's chief executive, has accused hedge funds, analysts and financial journalists of spreading negative information about his company to drive its stock down to benefit short sellers, who made bets that Overstock's shares would fall.

"I may be the first CEO in history to celebrate receiving an SEC subpoena," Byrne said in the statement. "I am gratified to see that the SEC is looking into the issues about which I have been speaking."

The SEC has questioned three former Gradient employees about Overstock.com's allegations and subpoenaed journalists, including Dow Jones Co.'s Herb Greenberg and CNBC's Jim Cramer. The agency at least temporarily withdrew the subpoenas after the commission's chairman said he would review the requests.

Overstock, an online seller of excess inventory, claims in a lawsuit against Gradient and hedge fund Rocker Partners LLC that Gradient wrote false reports about the company using information from Rocker to help Rocker profit on short sales of Overstock.

Gradient and Rocker deny wrongdoing. A California judge refused to throw out the lawsuit in March.

Short sellers borrow securities in hopes of making a profit by paying for them after the price drops. Naked short selling refers to selling shares that have not been borrowed.

Scott Blevins, Overstock's spokesman, said the SEC has previously requested information from Overstock about the allegations in the lawsuit.