UPDATE: Israel Charged With Bail-Jumping, Sent To Jail

Jul 3 2008 | 2:54pm ET

Bayou Group founder Samuel Israel insists he really did try to commit suicide.

The attempt came two days ago, he said, not on June 9, when he was supposed to report to prison and when his SUV was found idling on a bridge north of New York City with the words, “suicide is painless,” scrawled on the hood. And it was an attempted drug overdose, not a leap from the Bear Mountain Bridge.

“I thought it was better to do myself in than turn myself in,” Israel told a federal judge in New York this morning. Authorities say he had indeed taken drugs, including morphine, in the days prior to his surrender yesterday.

U.S. District Judge Colleen McMahon—who sentenced Israel to 20 years in prison for his role in defrauding investors of $450 million, and allowed him to remain free on bail until he reported to prison—greeted Israel with an order to go straight to jail

“Welcome back, Mr. Israel,” McMahon, who the former fugitive’s lawyers had accused of being prejudiced against their client, said. She denied him bail on the new bail-jumping charges filed today, and ordered him to begin serving his 20-year sentence immediately at a federal prison in Manhattan.

He faces another 10 years in prison if convicted of the failure to appear charges. He did not enter a plea at the preliminary hearing today.

Israel turned himself in to U.S. Marshals in southwestern Massachusetts yesterday after more than three weeks on the run.


In Depth

Fundraising for Mid-Sized PE Funds: Should You Use a Registered B/D?

Dec 6 2016 | 7:18pm ET

When does a fund sponsor need to use a registered broker/dealer when raising capital...

Lifestyle

Trump Attends 'Villains and Heroes' Costume Party Dressed As...Himself

Dec 5 2016 | 11:16pm ET

U.S. President-elect Donald Trump attended a "Villains and Heroes" costume party...

Guest Contributor

A Hard Look At Your ‘Soft’ Hedge Fund Marketing Information

Dec 8 2016 | 9:03pm ET

Conventional wisdom holds that due diligence examines quantitative as well as qualitative...

 

From the current issue of

Since the inception of Modern Trader, a core editorial theme has centered on the wisdom and power of crowds. Editorial emphasis has focused on companies and projects engaged in the collection and analysis of information. 

AVAILABLE NOW at BARNES & NOBLE

NEWSTAND LOCATOR