Hedge Fund Fraudster To Jail Today

Jan 25 2013 | 12:32pm ET

When he approved hedge fund fraudster Francisco Illarramendi's latest bid to delay his sentencing for ripping investors off to the tune of $540 million, U.S. District Judge Stefan Underhill warned that he'd approve further sentencing delays, but no further delays to Illarramendi's arrival in jail. Today, he's making good on that threat.

Underhill approved another delay in sentencing, which was to occur today. But he also ordered Illarramendi to surrender to the U.S. Marshals Service by 10 a.m. The detention order was made last week.

Illarramendi hired a new lawyer in November, who sought the delay. At the time, Underhill said he was "happy to give anybody as much time as they want to prepare for sentencing, provided it's not a vehicle to delay." He added that Illarramendi could "go into custody and spend as much time as you need."

That apparently doesn’t mean Illarramendi and his lawyers didn't try. Underhill denied a sealed motion made by Illarramendi's lawyers; it's unclear what was sought, but it may well have been more time on bail.

Illarramendi faces up to 70 years in prison. He pleaded guilty to defrauding investors in his Michael Kenwood Group and Highview Point Partners hedge funds, including the pension fund for Venezuela's state oil company.


In Depth

Q&A: High Conviction, Low Correlation

Oct 30 2014 | 7:35am ET

Acadian Asset Management's numbers are big: over $70 billion in assets under management...

Lifestyle

Ex-Hedgie Steyer Gives $56M To Climate Action Super PAC

Oct 28 2014 | 9:23am ET

Retired Farallon Capital founder Tom Steyer has poured almost $56 million into his...

Guest Contributor

Hedge Funds Weather A Data Management Perfect Storm

Oct 22 2014 | 12:28pm ET

From a regulatory standpoint, nearly every development since the crisis has placed...

 

Videos

Editor's Note

    Guidelines for Guest Articles

    Oct 22 2014 | 9:46am ET

    We are always looking for guest articles from hedge fund managers and buy-side firms.

    If you are interested in submitting a contributed piece for possible publication on FINalternatives, please take a look at the specs. Read more…

 

Futures Magazine

October 2014 Cover

Demeter: Family affair

David and James Hamman launched their fundamental Livestock and Grains Program in March of 2010 but it really was decades in the making.

The Alpha Pages

TAP July/August 2014 Cover

The Alpha Pages Interview: Senator Rand Paul

Senator Paul sat down in the debut series of the Alpha Pages Interview to discuss the broken tax code, regulation surrounding Bitcoin, and his plans for the 2016 Presidential election.