Hedge Fund Fraudster Hu To Be Sentenced

Jan 14 2013 | 3:04am ET

Hedge fund fraudster Albert Hu should spend almost 20 years in prison for ripping off investors of $6.5 million, prosecutors told the federal judge who will sentence him.

Hu was convicted in July of wire fraud and faces up to 24 years in prison. By that measure, prosecutors are being lenient: They recommended U.S. District Judge Ronald Whyte send Hu away for 19½ years—the low end of federal sentencing guidelines.

“Albert Hu’s conduct demonstrates a pattern of brazen and deliberate deception,” prosecutors wrote. He “stole over $6.5 million from numerous victims, then squandered the money in part on personal items and other non-investment expenditures.”

Hu’s lawyers have asked for a prison sentence of five years, noting, “a person committing manslaughter would receive a significantly lower sentence than the one sought against Mr. Hu.”

Hu will be sentenced today.

Hu allegedly promised investors returns of between 20% and 30%. He fled the U.S. in 2008 after moving the stolen assets from Singapore to Hong Kong and Taiwan. He was extradited from Hong Kong in 2009.


In Depth

Q&A: Decathlon Capital On Revenue-Based Alternative Lending

Oct 30 2017 | 3:49pm ET

The explosion in private credit activity since the end of the financial crisis is...

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

CAIS: How Technology is Disrupting the Alternative Investment Industry

Nov 7 2017 | 5:35pm ET

If there’s one thing that alternative investment professionals can agree on, it...