Hedge Fund Fraudster Gets More Than Five Years For Ponzi Scheme

Jun 19 2012 | 2:03pm ET

Admitted hedge fund fraudster Krittibas Ray is going to prison for more than five years.

A federal judge in San Francisco sentenced the Albany, Calif., man to 65 months in prison, as well as ordering him to pay $2.9 million in restitution. Ray pleaded guilty to wire fraud in March.

According to prosecutors, Ray ran a Ponzi scheme that cost investors more than $2.5 million of the $3.3 million he collected from them between February 2008 and the end of last year, when he was arrested. He admitted promising clients returns of between 7% and 8.5% by investing in Indian banks, but actually invested in himself and earlier investors, while lying to clients about his returns.


In Depth

Fundraising for Mid-Sized PE Funds: Should You Use a Registered B/D?

Dec 6 2016 | 7:18pm ET

When does a fund sponsor need to use a registered broker/dealer when raising capital...

Lifestyle

Trump Attends 'Villains and Heroes' Costume Party Dressed As...Himself

Dec 5 2016 | 11:16pm ET

U.S. President-elect Donald Trump attended a "Villains and Heroes" costume party...

Guest Contributor

A Hard Look At Your ‘Soft’ Hedge Fund Marketing Information

Dec 8 2016 | 9:03pm ET

Conventional wisdom holds that due diligence examines quantitative as well as qualitative...

 

From the current issue of

Since the inception of Modern Trader, a core editorial theme has centered on the wisdom and power of crowds. Editorial emphasis has focused on companies and projects engaged in the collection and analysis of information. 

AVAILABLE NOW at BARNES & NOBLE

NEWSTAND LOCATOR