Reply #102: Snopes:

[BikeWriter]

Rather than describing hordes of shark fisherman impaling live dogs on hooks and dragging them behind boats as shark bait, the article notes that employing dogs in shark-fishing is largely the province of a small group of amateur fisherman rather than large numbers of professionals, that the dogs used are generally dead animals picked up from roadsides or culled from the island's large population of unwanted strays (estimated at 150,000), and that the no-longer-alive animals are attached to unattended buoyed "shark trap" platforms rather than dragged alive behind boats.
http://www.snopes.com/critters/crusader/sharkbait.asp