Saturday, 18 April 2015
Last updated 12 hours ago
May 30 2012 | 1:07pm ET
The former managers of defunct hedge fund Quantek Asset Management have settled allegations that they lied to investors.
Javier Guerra and Ralph Patino agreed to pay $3.1 million in disgorgement and penatlies, although neither admitted or denied any wrongdoing at Miami-based Quantek. The hedge fund is in liquidation, and Guerra resigned from the firm last year after an arbitration panel found that he had made misleading statements about the once-$1 billion fund.
According to the Securities and Exchange Commission, Guerra and Patino lied to investors about their own investments in Quantek, which the regulator says did not exist, and about loans made to several entities related to Guerra.
"When making an investment decision, private fund investors are entitled to the unvarnished truth about material information such as management's skin in the game or the adviser's handling of related-party transactions," Bruce Karpati, co-head of the SEC's asset management enforcement division, said.
In addition to the fines and disgorgement, Guerra accepted a five-year ban and Patino a one-year ban.
"I am proud of what we achieved at Quantek," Guerra said in a statement.
Mar 20 2015 | 12:45pm ET
StreetWise Partners, a non-profit organization that works with low-income individuals to help them overcome employment barriers, raised over $275,000 at the 2015 Raising the Ante Charity Poker Tournament and Casino Event last Wednesday evening at Capitale. Here are some photos from the event. Read more…