** Shares of fintech firm Pagaya Technologies PGY.O fall 6.9% to $12.12 after Iceberg Research reveals short position

** Short seller claims PGY is running an "unsustainable business model" by underwriting high-risk consumer loans through partnerships with fintech lenders and banks

** Iceberg alleges borrowers for these loans were initially rejected by the partners because they were deemed too risky

** PGY did not immediately respond to a Reuters request for comment

** Reuters could not independently verify the claims in the report

** PGY stock slumped 43.9% in 2024

(Reporting by Arasu Kannagi Basil in Bengaluru)

((ArasuKannagi.Basil@thomsonreuters.com;))