NIR Head Canned By Liquidator

Feb 6 2012 | 2:48pm ET

Corey Ribotsky, facing allegations that he misappropriated more than $1 million from his NIR Group hedge fund, has been dismissed as the fund's manager.

Ribotsky was booted by PricewaterhouseCoopers, the fund's court-appointed liquidator, reports Long Island Business News. The move comes four months after the Securities and Exchange Commission filed a fraud lawsuit against Ribotsky, which accused him of using fund assets to pay for lavish personal expenses. But the complaint includes no allegations, leveled against Ribotsky and NIR by investors, that Ribotsky fraudulently valued assets.

Ribotsky remains head of Roslyn, N.Y.-based NIR, but it is unclear whether the firm has any other hedge funds in its stable. He has not been charged with any wrongdoing.

PwC said that NIR has charged at least $52 million in fees and expenses since it froze redemptions. Half of that was charged by NIR, and half by a collateral management firm owned by Ribotsky, First Street.

The liquidator added that NIR in December had only $130,000 in cash for liquidation expenses.

"We do not confirm nor deny them as we have not independently verified the same," NIR spokesman Brad Gerstman told Long Island Business News.


In Depth

Exotic Assets: Investing In Rare Violins

Jan 17 2017 | 4:43pm ET

By definition, alternative investments include exotic assets far beyond your typical...

Lifestyle

'Tis the Season: Wall Street Holiday Parties Back In Fashion

Dec 22 2016 | 9:23pm ET

Spending on Wall Street holiday parties has largely returned to pre-2008 levels...

Guest Contributor

The Trump Administration: What It Could Mean for Carried Interest

Jan 19 2017 | 5:25pm ET

The arrival of the Trump administration brings the potential for a repeal of the...

 

From the current issue of

Versum Materials (VSM), with a market capitalization of $2.7 billion, enables chipmakers to achieve higher performance at lower cost with enhanced reliability. Versum is a leading global provider of electronic materials for the integrated circuit and flat-panel display markets.