Samex Founder Sentenced To 10 Years

Mar 26 2012 | 1:46pm ET

A former Indiana hedge fund manager has received a decade in prison for ripping investors off to the tune of more than $7 million.

Keenan Hauke was also ordered to pay $7.1 million in restitution. He had faced as much as 17 years in prison under a plea deal reached in December.

Hauke told U.S. District Judge Tanya Walton Pratt that he was willing "to spend the rest of my life living with nothing but necessities until restitution is complete."

The Samex Partners founder pleaded guilty to securities fraud. According to prosecutors, Hauke both covered up huge losses suffered by Samex and diverted investor funds for his own use. Hauke’s misdeeds came to light earlier this year when a former Samex employee blew the whistle to state regulators. Shortly after, the Federal Bureau of Investigation began its own probe.

Pratt ordered Hauke to begin serving his sentence immediately at the federal prison in Terre Haute, Ind., just 100 miles from Hauke's home in Fishers.


In Depth

Q&A: Fund Administration Comes To The Cloud

Jul 14 2017 | 7:23pm ET

The fund administration sector has been steadily implementing new technology, such...

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

Rastegar: PE Real Estate Gains Momentum as Uncertainty Rises

Jul 21 2017 | 6:04pm ET

The steady march of equity markets and fundamental shift in the direction of Fed...

 

From the current issue of