Everything you described is fraught with legal problems and hasn't been done since TelMex - Selling unregistered shares by a company public in the US to US citizens and not reflecting it on the balance sheet. Unless you're doing it in a country with no regulation and the possibility of ever registering it and reporting it. Plus you're buying it at a discount to the US owners. You can sell stock at a discount, but it would need a filing. Things like ESOPs are fully disclosed. Constructive sales issues and doing it offshore may move the violation from civil fraud to criminal fraud. Nonetheless, the constructive sale means there may be no economics as others have noted. Not a legal issue, but you'll need collateral in both markets. Bringing the long stock back and attempting to register it is going to be a problem and should trigger both AML and tax concerns. In Telmex, it was down w/offshore and domestic options and stock in an attempt to circumvent monetary regulations. Also a ploy in 97 from Hong Kong. You should, obviously, consult international securities and tax professionals.
I think this (PIPE) is what some of the SPACs I bought were involved in. I know Ackman tried this with his failed Universal Music Group buyout and IPO. I remember reading in The Predators' Ball that the Milken mafia definitely was involved in those shenanigans and they usually got the warrants as teasers.
Your new "shorting" technique sounds to me like some form of kiting. The replies you've received are amazing, these guys really know about the regulations governing the industry. Take their advice and do not engage in this.
I've been reading that some of the SPACs were engaging in it. It's all perfectly legal and disclosed in the proper filings. Providing funds for a PIPE is limited to accredited investors, it's not something your average retailer can do. You can use preferred, common, convertibles, warrants... anything to get the deal done.