HEDGE FUND NEWS

Cayman Net News- The Royal Cayman Islands Police Service (RCIPS) have arrested an unidentified 47-year-old man in connection with last month’s collapse of several Cayman-domiciled investment funds.
Detectives from the Financial Crimes Unit (FCU) arrested the man on suspicion of theft, false accounting and uttering false documents after their investigations into the collapse of four hedge […]

New York (HedgeCo.Net) - Disdained investors of the former Bayou hedge fund, run by one-time fugitive Sam Israel, are going after Goldman Sachs for $20 million to try and recover some of their losses.
Goldman Sachs served as the prime broker while clearing trades and taking custody of the securities.  They also provided reports on the […]

New York (HedgeCo.Net) - Chances are, when you stage a suicide to avoid a 20-year prison sentence and spark an international manhunt, you’re probably not going to have the luxury of being granted bail. 
That’s exactly what happened when Judge Colleen McMahon denied Samuel Israel III in a federal court in Manhattan last week.
Not only […]

New York (HedgeCo.Net) - The international man hunt for Sam Israel came to an end yesterday when the hedge fund fraudster turned himself over to authorities.  
Israel turned himself into the Southwick, Mass., police station around 9:30 a.m., said Suzanne Anderson, Police Chief Assistant.  The police station is about 95 miles away from the Ayer, […]

New York (HedgeCo.Net) - Bear Stearns has triumphed in a case involving disgruntled investors seeking $141 million for the losses they incurred following the collapse of the Manhattan Investment Fund Ltd., a hedge fund where Bear served as the prime broker.
The fund, which filed for Bankruptcy in 2000, started experiencing losses almost immediately after its […]

Reuters - Pictures of hedge fund managers in handcuffs being led away to face fraud charges on Thursday have sent a chilling message to the $2 trillion (1 trillion pound) industry.
The warning was clear: mind what you say in your e-mails if you are a manager and do a lot of due diligence if you […]

International Herald Tribune- The girlfriend of a missing hedge fund swindler was arrested Thursday and charged with helping him elude his sentence on the day he was supposed to begin serving 20 years in prison.
Debra Ryan was charged with aiding and abetting the escape of Samuel Israel III.
Federal agents said Thursday that Israel took off in a […]

Ventura County Star- More than 400 real estate industry players have been indicted since March, — including dozens in the last two days — in a Justice Department crackdown on incidents of mortgage fraud that stem from the country’s housing crisis.
The FBI put the losses to home-owners and other borrowers who were victims in the […]

Bloomberg - Bear Stearns Cos. didn’t investigate the financial health of a hedge-fund client that later collapsed because its claim of an annual 20 percent return on investment “made perfect sense,” a former executive at the firm said.
Bear Stearns was sued in 2001 by a bankruptcy trustee on behalf of creditors of the now-defunct Manhattan […]

New York (HedgeCo.Net) - Troubles keep arising for Bear Stearns, even after its demise and the resulting takeover by JPMorgan Chase.  It seems investors are still targeting Bear after the implosion of their two failed hedge funds last year that kicked off the subprime mortgage crisis. 
Federal prosecutors, along with the SEC, may bring criminal […]

New York (HedgeCo.Net) - The manhunt continues for former Bayou hedge fund manager Sam Israel, who went missing just hours before his scheduled jail term of 20 years.
Israel’s 2006 GMC SUV was found abandoned on the bank of the Hudson River just north of New York City, with the words ‘Suicide is Painless’ written through […]

Philadelphia Daily News- A hedge-fund swindler who was supposed to be driving himself to prison abandoned his car on a bridge with the phrase "Suicide is Painless" scrawled on its hood, but no body has been found in the river below - and the victims of his fraud say they doubt he killed himself.
The FBI, […]