Wednesday, 28 September 2016
Last updated 5 hours ago
Dec 28 2010 | 2:51am ET
A pair of hedge fund managers have been accused of ripping off investors of more than $30 million.
Thomas Repke was charged yesterday in Atlanta federal court with defrauding more than 100 investors in his Coadum Capital, which he ran with James Jeffery. The two men allegedly promised 5% monthly returns, but actually stole more than $20 million of the money raised, transferring it to accounts in Switzerland and Malta, rather than investing it in hedge funds allegedly run by a Malta-based trader.
Repke pleaded not guilty to mail and wire fraud and conspiracy and was released on $250,000 bond. Jeffery, who lives in Ontario, has not yet appeared on the same charges.
Both men face up to 20 years in prison if convicted.
Prosecutors say that only a fraction of the money raised by Utah-based Coadumin 2006 and 2007 was left by the end of 2007.