SEC Sues Former Chicago Hedge Fund Managers

Oct 4 2012 | 11:28am ET

The Securities and Exchange Commission has sued a husband-and-wife team, accusing them of ripping off investors in their hedge fund.

Norman Goldstein and the appropriately-named Laurie Gatherum took at least $147,000 more than they were entitled to through excessive fees and capital withdrawals. While the Chicago couple's GEI Financial Services returned $3.6 million to investors after losing their state license last year due to a number of violations, they still owe the rest, the SEC said.

"For years, the defendants have demonstrated a complete disregard toward the securities laws, their clients and the state of Illinois," the regulator said in its complaint. "They long ago abandoned their fiduciary responsibilities towards their clients."


In Depth

Q&A: Rotation Capital's Rothfleisch On SPAC 2.0

Aug 11 2017 | 7:43pm ET

Corporate actions have long been a staple of event-driven investors, but activity...

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

Star Mountain: Private Lending in the Lower Middle-Market

Aug 14 2017 | 4:45pm ET

Private credit has become one of the most popular alternative asset classes in recent...

 

From the current issue of