New York Times – The Securities and Exchange Commission yesterday sued a San Francisco hedge fund manager, Edward S. Ehee, and the funds that he managed, Viper Capital management and Compass FundManagement, accusing him of fleecing 18 investors out of about $5 million.
Mr. Ehee raised the money from investors, including a neighbor who gave his children’s trust funds to Mr. Ehee and the neighbor’s mother-in-law, who invested her entire retirement savings in the funds, according to the complaint.
Rather than invest the millions he raised, Mr. Ehee gave the money to family members and used it to pay for his mortgage, his cars and vacations in Las Vegas, the complaint says.
S.E.C. officials pointed to the case as an example of the agency cracking down on abuses against retirees.
