Staten Island ‘Hedge Fund Manager’ In 2nd CFTC Run-In

Apr 3 2007 | 3:49pm ET

There’s just no deterring some people.

Fresh off a three-year stint in prison for a previous hedge fund scam, Alexsander Efrosman of Staten Island, N.Y., finds himself in trouble with authorities again. According to the Commodity Futures Trading Commission, he’s back up to his old tricks.

The regulator announced yesterday that a federal court entered a default judgment against Efrosman, a.k.a. Alex Besser, ordering him to pay restitution, disgorgement and penalties totaling more than $22 million. The CFTC says that Efrosman, through entities called AJR Capital and Century Maxim Fund, collected more than $5 million from about 110 investors for a foreign-exchange futures fund. In fact, it is alleged, the money went to fund Efrosman’s gambling habit, while he studiously provided his “investors” with fictitious account statements and promises of double-digit monthly returns.

Efrosman’s last run-in with the law stemmed from a CFTC administrative action in 1997. He fled the country, only to be tracked down in France in 2000 and extradited. In that case, he pleaded guilty to 19 counts of fraud.


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