Cheryl Carpenter Kilmek in BizPac Review reports:
“The word is out among hedge fund owners that Palm Beach County is the place to be. Kelly Smallridge, President and CEO of the Business Development Board of Palm Beach County, says in the past two weeks she has been getting phone calls every day from New York hedge fund owners tired of high taxes and cold weather looking for a change.
Following a recent New York Post article that said, “The city’s hedge-fund executives are flying south — and it’s not for vacation,” Fla. Gov. Rick Scott sent a letter to hedge fund owners asking them to consider Florida, which prompted a tremendous response.”
But is this really good for Florida?
Florida has had its share of hedge fund managers gone bad. Can you say Ponzi scheme? For example, Scott W. Rothstein, is the disbarred lawyer and the former managing shareholder, chairman, and chief executive officer of the now-defunct Fort Lauderdale law firm Rothstein-Rosenfeldt-Adler. He was accused of funding his philanthropy, political contributions, law firm salaries, and an extravagant lifestyle with a massive $1.2 billion Ponzi scheme.
HedgeCo.net lists the following recent cases of hedge fund manager fraud:
New York (HedgeCo.Net) – A Federal jury has convicted a certified public accountant Jonathan D. Davey, 48, of Newark, Ohio, of four criminal charges relating to an investment fraud conspiracy, the FBI reports. The federal indictment, returned in February 2012, […]
New York (HedgeCo.Net) – An indictment was filed and an information unsealed today charging two business associates in the hedge fund management industry with defrauding institutional investors and causing collective losses of more than $311 million, announced United States Attorney […]
New York (HedgeCo.Net) – Roomy Khan, a government co-operator in the biggest hedge fund insider trading conspiracy in US history, has been sentenced to one year in prison. Khan has pleaded guilty to passing inside information to Galleon Group fund […]
New York (HedgeCo.Net) – Jason Pflaum, a former research analyst with the hedge fund Barai Capital Management (BCM), was sentenced to time served, followed by two years of supervised release, for his participation in an insider trading scheme in which […]
January 25, 2013 : Permalink
New York (HedgeCo.Net) – San Francisco hedge fund founder Doug Whitman was sentenced yesterday to two years behind bars after a conviction on securities fraud and conspiracy charges. Whitman Capital, the hedge fund he had presided over had about $100 million in assets. […]
New York (HedgeCo.Net) – The securities research analyst who had publicly refused in 2010 to wear a wire in a hedge fund insider trading trading probe was sentenced yesterday to over four years in prison, Bloomberg’s HedgeWorld reports. John Kinnucan […]
New York (HedgeCo.Net) – Albert Ke-Jung Hu, a silicon valley hedge fund manager, has been jailed for 12 years on charges of defrauding investors out of at least $6.5 million. “Instead of investing the money as promised, Hu “converted that money […]
New York (HedgeCo.Net) – The master of manipulation, Bernie Madoff, second only to Charles Ponzi himself, sent out a Christmas memo claiming that “Insider trading… has been present in the market forever, but rarely been prosecuted.” “Markets have always focused on […]
New York (HedgeCo.Net) – A New York jury has found Anthony Chiasson and Todd Newman, both former hedge fund managers, guilty of insider trading charges. The NYT reports: “The government built its case around the testimony of two key witnesses: Spyridon Adondakis, […]
New York (HedgeCo.Net) – The SEC has charged three brokers who raised funds for an Oregon-based hedge fund manager for failing to register as broker-dealers before engaging in securities transactions. “Broker-dealer registration is crucial to protecting investors from Ponzi schemes […]
New York (HedgeCo.Net) – The Neurologist linked to the Alzheimer drug tests/hedge fund insider trading case, has resigned from his position at the University of Michigan. Professor Sid Gilman is accused of leaking data to SAC hedge fund trader Mathew Martoma. Gilman was paid […]
New York (HedgeCo.Net) – A week after hedge fund trader Mathew Martoma was charged with insider trading, the SEC is going after the hedge fund in question, Steven A. Cohen’s hedge fund SAC Capital, according to people familiar with the situation. “In […]