Naked short selling is also called fraud. Hedge funds, largely unregulated, do this systemically. Hedge fund valued at $2 trillion, no less. Look it up.
I'm well aware of what naked short selling is, and I know that some hedge funds do it. However, nowhere near all hedge funds do, and I would be interested in seeing any evidence you have that hedge funds worth "$2 trillion" do (since there is no single hedge fund worth close to that).
But this is just an aside, since you wanted to see Lehman's executives hang. What crimes did they commit?