Former Westport Hedge Fund CFO Pleads Guilty to $1M Fraud

Oct 17 2012 | 10:28am ET

The former CFO of a Westport hedge fund has pleaded guilty to wire fraud stemming from his embezzlement of more than $1 million from the firm.
 
Darrin Foster faces up to 20 years in prison when he is sentenced on Jan. 7, prosecutors said.

The Westport-based hedge fund was not identified in court documents, but the WestportNOW web site says Foster said in an internet posting that he was CFO for Turkel Investments from 1993 to 2010.

Prosecutors said that from about September 2004 to July 2010, Foster made thousands of unauthorized charges for personal expenses (worth over $1 million) on his employer’s American Express account, then paid them from the hedge fund's bank accounts.

Foster was arrested by the New York State Police in Yonkers on May 27 after a trooper who stopped for a disabled car in Westchester County discovered the driver was wanted by the Secret Service for an alleged wire fraud.
 


In Depth

U.S. Treasury Moves on Reinsurance Loophole

Apr 24 2015 | 5:11pm ET

The U.S. Treasury Department has released proposed rules aimed at limiting the ability...

Lifestyle

Artivest Announces Funding Round Led by KKR & Co.

May 4 2015 | 9:56am ET

Artivest, a startup that provides individual investors with access to private equity...

Guest Contributor

Starting a ‘40 Act Fund Family? Don’t Forget Your Board

Apr 30 2015 | 7:18am ET

The convergence of the hedge fund and mutual fund worlds continues unabated, as...

 

Editor's Note