Limo Driver Pleads In Hedge Fund Fraud

Mar 10 2010 | 12:38pm ET

A limousine-driver-turned-hedge-fund-fraudster has admitted to swindling investors out of almost $20 million.

Alan Fishman pleaded guilty to conspiracy last week. Two others charged in the case, Daniel Ledven and Edward Veisman, also did so. The trio were set to go on trial on Monday.

According to prosecutors, Fishman and his nephew, Gary Gelman, founded the A.R. Capital Global Fund in 2003. The fund raised some $20 million from 70 clients promising to invest in overseas real estate, currencies, oil, gas and other commodities. But the fund did no “active, leveraged trading” or “fundamental and technical analysis,” authorities say, instead putting some money into three Ukrainian stocks and millions more were wired to Lithuanian bank accounts.

Despite serving as president of A.R. Capital—Fishman’s lawyer said he was essentially the hedge fund’s administrator—Fishman continued to drive Wall Street executives around town.

Fishman will be sentenced on June 18. He faces up to five years in prison and a $160,000 fine.

Gelman remains on the lam and is believed to be in Fishman’s native Ukraine.


In Depth

Israeli Hedge Fund Harnesses Big Data

Jul 28 2014 | 8:10am ET

Apica Green is a multi-million dollar Israeli hedge fund that is based in Tel Aviv...

Lifestyle

David Yarrow On Growing His Hedge Fund And Shooting The Animals And People Of Africa - As A Photographer

Jul 23 2014 | 6:44am ET

While he’s always been a photographer, recent expeditions to Iceland, Ethiopia...

Guest Contributor

Why Is The Shipping Industry Underwater?

Jul 31 2014 | 7:31am ET

Anyone who’s taken a look at the global shipping industry recently probably knows...

 

Publisher's Note