Monday, 20 October 2014
Last updated 2 days ago
Jun 14 2007 | 1:48pm ET
Call it divine justice. A former pastor and his two allegedly unholy apostles have agreed to pay some $21.65 million to settle a civil suit relating to their allegedly fraudulent hedge fund, XL Capital Partners.
The trio, Hamilton Bird, David Newton and Douglas Scott, has also agreed to lifetime bans from the securities industry. The $21.65 million judgment represents the full amount lost by 350 investors in the alleged scam.
Colorado prosecutors allege that XL collected some $24 million from 450 investors, many recruited by Scott, the former pastor of the now-defunct River of Life Church, the Colorado Springs Gazette reports. The money didn’t go into the firm’s Vision Fund, according to the indictment, but to such prime investments as a corporate jet and a home for Newton, who has agreed to testify against his cohorts in exchange for a plea bargain. Bird goes to trial on Aug. 13 and Scott faces a judge on Sept. 4. If convicted of fraud and theft, both face prison terms of four to 12 years.
In light of his cooperation, Newton received 15 years of probation and was ordered to serve 200 hours of community service.
Sep 22 2014 | 4:15pm ET
"I tell people that everybody likes good news and so if you have good performance that’s wonderful,” explains Mike McKitish of Peddie School's endowment, “but it’s the people that want to talk about the bad news or where they drifted and how they came back and how they stayed to their discipline…” that he wants to hear from. Read more…
Sep 30 2014 | 9:29am ET
The crisp Autumnal days of October are upon us, and so are a few of the hedge fund industry’s favorite charitable events. If you have never been to Rocktoberfest, well, you are missing out. And for a quieter evening of sipping and socializing, stop by HFC’s Wine Soiree. Read more…
Most traders agree that proper risk management is the key to successful trading. However, many traders depend on the deeply flawed measure of standard deviation as a benchmark of risk. Here we put it ...