Tuesday, 21 October 2014
Last updated 8 hours ago
Jul 18 2012 | 2:11am ET
Hedge fund manager Chetan Kapur has been arrested and charged with defrauding investors in his ThinkStrategy Capital Management for eight years.
Kapur, who was picked up at New York's John F. Kennedy International Airport upon his arrival there on Monday, was indicted on securities fraud, investment adviser fraud and wire fraud. If convicted, he faces more than 100 years in prison.
The criminal charges read a lot like the civil charges laid against Kapur by the Securities and Exchange Commission last year. According to prosecutors, Kapur "deceived investors into purchasing shares in the ThinkStrategy Capital Fund and ThinkStrategy Multi-Strategy Fund through false and misleading statements and omissions."
ThinkStrategy and Kapur consented to the entry of a judgment in the SEC case without admitting or denying wrongdoing. Kapur told FINalternatives at the time that ThinkStrategy was wound down more than a year ago and that "all investors… were fully redeemed having received the reported returns." The SEC had alleged that not only was ThinkStrategy itself fraudulent, it was something of a fraud of frauds, investing in the Bayou Group, Arthur Nadel and Grant Grieve Ponzi schemes.
Yesterday's indictment does not mention those scams or offer any details of Kapur's alleged crimes. A federal magistrate ordered Kapur detained pending a June 25 arraignment.
Sep 22 2014 | 4:15pm ET
"I tell people that everybody likes good news and so if you have good performance that’s wonderful,” explains Mike McKitish of Peddie School's endowment, “but it’s the people that want to talk about the bad news or where they drifted and how they came back and how they stayed to their discipline…” that he wants to hear from. Read more…
Sep 30 2014 | 9:29am ET
The crisp Autumnal days of October are upon us, and so are a few of the hedge fund industry’s favorite charitable events. If you have never been to Rocktoberfest, well, you are missing out. And for a quieter evening of sipping and socializing, stop by HFC’s Wine Soiree. Read more…
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