Tuesday, 21 October 2014
Last updated 31 min ago
Sep 4 2008 | 1:11pm ET
In matters of hedge fund fraud, the Marinos kept things in the family.
Matthew Marino, the brother of convicted Bayou Group fraudster Daniel Marino, pleaded guilty yesterday to charges that he helped cover up the $450 million fraud perpetrated against Bayou’s clients. The U.S. Attorney’s Office for the Southern District of New York said Matthew Marino admitted that he helped conceal the fraud at phony accounting firm Richmond-Fairfield Associates, which was being used in the cover-up, as well as by preventing lawyers involved in Israel’s divorce from obtaining Bayou documents that might have blown the cover off the fraud.
He also acknowledged that from January through August of 2005, he knew about the scheme hatched by his brother and co-conspirators Samuel Israel and James Marquez, but did not come forward.
Daniel Marino, who served as chief financial officer at Bayou, and Israel, who served as CEO, pleaded guilty to charges stemming from the Bayou fraud three years ago and are both serving 20 year sentences. Israel is also facing charges related to his flight from justice earlier this year. Marquez pleaded guilty two years ago and was sentenced to just over four years in prison.
Matthew Marino faces as much as three years in prison when he is sentenced on Dec. 4. He also faces a fine of as much as twice the gross gain or loss resulting from the crime and could be ordered to pay restitution of up to $300 million.
Sep 22 2014 | 4:15pm ET
"I tell people that everybody likes good news and so if you have good performance that’s wonderful,” explains Mike McKitish of Peddie School's endowment, “but it’s the people that want to talk about the bad news or where they drifted and how they came back and how they stayed to their discipline…” that he wants to hear from. Read more…
Sep 30 2014 | 9:29am ET
The crisp Autumnal days of October are upon us, and so are a few of the hedge fund industry’s favorite charitable events. If you have never been to Rocktoberfest, well, you are missing out. And for a quieter evening of sipping and socializing, stop by HFC’s Wine Soiree. Read more…
Most traders agree that proper risk management is the key to successful trading. However, many traders depend on the deeply flawed measure of standard deviation as a benchmark of risk. Here we put it ...