Portland Hedge Fund Fraud Probe Expands

Jan 20 2012 | 12:38pm ET

A federal investigation into a pair of Portland, Ore., hedge funds continued to grow last week with a new round of investor interviews and a new subpoena.

The Securities and Exchange Commission spoke with Sasquatch Capital clients, as it had done with clients of Grifphon Asset Management last year. The agency also issued a subpoena to lawyer Robert Banks, who represents some Grifphon clients, seeking internal documents from the hedge fund.

Grifphon and Sasquatch are under investigation by both the SEC and Oregon authorities for possible fraud. Investors had accused Grifphon chief Yusaf Jawed and Sasquatch's Lyman Bruhn of running a Ponzi scheme, and have filed lawsuits to that end.

Jawed has repeatedly said that he is nearing a solution to his hedge fund's liquidity problems. On Wednesday, he sent investors a letter assuring them that "we continue to work assiduously to bring about liquidity, and expect to accomplish this task in the relatively near future." But he also said that his former lawyer would no longer take inquiries from clients.


In Depth

Q&A: Brevan Howard’s Charlotte Valeur Talks Strategy

Sep 18 2014 | 11:18am ET

Charlotte Valeur chairs the board of Brevan Howard Credit Catalysts, an LSE listed...

Lifestyle

Hedgies Rock Out For Children's Charity

Sep 15 2014 | 8:40am ET

It's that time of year again—when hedgies trade in their spreadsheets for guitars...

Guest Contributor

Volkered: How Financial Sector Reforms are Creating Opportunities for Hedge Funds

Sep 16 2014 | 11:28am ET

New regulations have dramatically curtailed proprietary trading activity in investment...

 

Editor's Note

    Get A Sneak Peak Of The Alpha Pages

    Aug 25 2014 | 11:21am ET

    As many of you know, FINalternatives was recently acquired by the owners of Futures magazine, a firm called The Alpha Pages LLC. Today marks the soft-launch of a new sister site for both publications. As its name suggests, The Alpha Pages will cover all types of alternative investments, going far beyond the more well-known ones such as hedge funds and private equity. Read more…

 

Futures Magazine

September 2014 Cover

The London Whale: Rogue risk management

Credit default swaps brought down the London Whale and cost JPMorgan $6.2 billion. Here is how it happened.

The Alpha Pages

TAP July/August 2014 Cover

The Alpha Pages Interview: Senator Rand Paul

Senator Paul sat down in the debut series of the Alpha Pages Interview to discuss the broken tax code, regulation surrounding Bitcoin, and his plans for the 2016 Presidential election.