Former Fugitive Hedge Fund Fraudster Gets Almost Five Years

Aug 18 2008 | 6:56am ET

An admitted hedge fund fraudster will spend almost five years in prison for his crimes.

A federal judge in Miami has sentenced Salman Shariff, who was arrested in February after years on the run, to 57 months in prison, followed by three years of supervised relief. Shariff pleaded guilty to swindling investors out of almost $11 million in a hedge fund Ponzi scheme after authorities finally tracked him down in Queens, N.Y.

Shariff admitted he had lied to investors about how the funds were doing, claiming double-digit returns when, in fact, the fund was actually posting losses. The scheme, which used a variety of names, including Vestron Investment Club and Crescent Capital, ran from 1998 to 2001.

According to authorities, much of the money that wasn’t lost went to funding Shariff’s extravagant lifestyle, including a beachfront condo in South Beach, a Ferrari and a yacht. Shariff also bought a modeling agency, as a gift to his girlfriend.

In Depth

The Importance of Stability in the Evolving Hedge Fund Administration Market

Oct 5 2015 | 8:17pm ET

Hedge fund administration has evolved from simple record keeping to an integral,...


Citadel Supports Manhattan Real Estate With Record Deal

Sep 16 2015 | 3:04pm ET

Never count hedge funds out of a big property deal. The Manhattan real estate market...

Guest Contributor

Hedge Fund Marketing To Independent RIA Firms

Sep 30 2015 | 1:56pm ET

In this contributed article, Bruce Frumerman of Frumerman & Nemeth Inc. explains...


Editor's Note

Upcoming Events