Hedge Fund Fraudsters Get Seven Years For $7 Million Scam

Mar 28 2011 | 1:22am ET

Two admitted hedge fund fraudsters have been sentenced to a year in prison for each million they cost investors.

Igor Levin and Yevgeny Shvatsshteyn were each ordered to serve 87 months in prison, slightly more than seven years, for defrauding investors of more than $7 million. U.S. District Judge Sidney Stein also ordered the two to pay that amount in restitution.

Levin and Shvatsshteyn pleaded guilty in December. The two said they never invested the money entrusted to them in international real estate, as promised, instead sending it to banks in Levin's native Ukraine. The millions appear to have disappeared.

Levin faces deportation to the Ukraine after completing his sentence.

It's not the first trip up the river for either man: Shvatsshteyn served more than two years in prison a decade ago for mail fraud, while Levin did 11 months for a firearms violation in the early 1990s.


In Depth

PAAMCO: Will Inflation Deflate the Asset Bubble?

Jan 30 2018 | 9:49pm ET

As the U.S. shifts from monetary stimulus to fiscal stimulus, market pricing should...

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

Boost Hedge Fund Marketing ROI By Raising Your ROO

Feb 14 2018 | 9:57pm ET

Tasked with delivering returns on client capital, a common dilemma for many alternative...

 

FINalternatives Trending

From the current issue of