CNN's citizen journalism under fire

Bloomberg reports that CNN's attempt at online citizen-journalism on its iReport.com backfired when a bogus report claimed that Apple Inc. CEO Steve Jobs had suffered a heart attack.
The report initially sent apple shares down 5.4 percent.
The story says the Securities and Exchange Commission's enforcement unit is trying to determine whether the posting was intended to push down Apple's stock price.
From the story:

The event underscores the need for news organizations to verify content generated by users before it is published, William Grueskin, dean of academic affairs at Columbia University Graduate School of Journalism, said in an interview from New York. CNN competitors Fox and MSNBC also have added interactive features to stretch resources and follow their audience to the Web.