Dreier Could Be Freed This Week

Feb 9 2009 | 1:09am ET

Disgraced lawyer Marc Dreier could join his fellow accused hedge fund defrauder Bernard Madoff in the world’s most upscale prison—the Upper East Side of Manhattan—this week.

A federal judge last week cut Dreier’s bail in half—to $10 million—and set some Madoff-like restrictions, should he be able to come up with the bond. In fact, some of the conditions imposed on Dreier, accused of ripping hedge funds and other investors off to the tune of more than $400 million, are even more draconian than those placed on Madoff.

U.S. District Judge Jed Rakoff said that Dreier will be barred from leaving his apartment without the court’s permission. That apartment will have to have a security guard posted in front of it, á la Madoff. But Dreier, who will also have to wear an electronic monitoring device, will not have the freedom of association enjoyed by the accused $50 billion Ponzi schemer. His apartment will have to have all communication lines removed save for a landline phone, and any visitors he wishes to entertain must be approved by authorities. What’s more, his landline can’t feature any modern amenities, with Rakoff banning call forwarding, modems, caller ID and call waiting.

Dreier’s attorney said he expects his client to be released early this week. His $10 million bond must be signed by his mother and son.


In Depth

GSAM's Papagiannis: Liquid Alternatives For The Long Run

Apr 21 2017 | 8:44pm ET

Interest in liquid alternatives cooled a bit last year amid a broad shift in investor...

Lifestyle

Aston Martin Returns To Debt Market As DB11 Drives Turnaround

Mar 31 2017 | 5:21pm ET

James Bond’s preferred carmaker is returning to the public debt markets for the...

Guest Contributor

Debunking Conventional Investment Wisdom (Part II)

Apr 17 2017 | 5:56pm ET

The alternative investment industry is currently replete with buzzwords around data...

 

From the current issue of