SEC Compensates Hedge Fund’s Late-Trading Victims

Mar 22 2007 | 11:48am ET

The Securities and Exchange Commission has distributed the $38 million it collected from a Texas hedge fund accused of illegally market-timing and late-trading mutual funds.

Approximately 810 mutual funds that the SEC says were victims of Veras Investment Partner’s scheme received a share of the Fair Funds, which represents all of the money in disgorgement and civil penalties paid by Sugar Land-based Veras and its managing members, Kevin Larson and James McBride.

Veras and its principals settled the SEC’s charges in December 2005, without admitting or denying the accusations. In its settlement order, the agency said that Veras had for almost two years used deceptive tactics to continue market-timing after it had been caught by mutual funds, in addition to its late-trading activity.


In Depth

Q&A: Rotation Capital's Rothfleisch On SPAC 2.0

Aug 11 2017 | 7:43pm ET

Corporate actions have long been a staple of event-driven investors, but activity...

Lifestyle

CFA Institute To Add Computer Science To Exam Curriculum

May 24 2017 | 9:25pm ET

Starting in 2019, financial industry executives sitting for the coveted Chartered...

Guest Contributor

Star Mountain: Private Lending in the Lower Middle-Market

Aug 14 2017 | 4:45pm ET

Private credit has become one of the most popular alternative asset classes in recent...

 

From the current issue of