Tuesday, 23 September 2014
Last updated 9 hours ago
Mar 20 2009 | 2:07am ET
Accused hedge fund fraudster Arthur Nadel’s lawyers want to get paid. Nadel’s clients want a judge to say, “not so fast.”
Todd Foster and Barry Cohen have asked a federal judge in Tampa, Fla., to release some of Nadel’s assets to cover the $93,000 in legal bills he’s incurred since his arrest last month. But the Securities and Exchange Commission, which is suing Nadel, and 22 Nadel clients have asked U.S. District Judge Richard Lazzara to reject Foster and Cohen’s request, arguing that any money Nadel made over the past six years is tainted and belongs to his victims.
“Nadel’s counsel fails to offer any evidence to show that the sources contain untainted assets,” Morgan Bentley, a Sarasota, Fla., lawyer representing Nadel’s clients, said. The SEC and the court-appointed receiver in the case agree.
“The source of Nadel and Mrs. Nadel’s income during the period was Nadel’s scheme,” according to receiver Burton Wiand.
Wiand is also busy building the kitty of frozen Nadel assets: The latest addition is Nadel’s wife’s Sarasota flower show, to which Nadel allegedly transferred more than $770,000. Wiand said all of that money is from ill-gotten gains.
Nadel is awaiting trial in New York on charges that he defrauded investors of more than $300 million. He remains in custody, unable to post a $10 million bond.
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 McKitich, CIO of Petty 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…
Aug 25 2014 | 11:21am ET
As many of you know, FINalternatives was recently acquired by the owners of Futures magazine, a firm called The Alpha Pages LLC. Today marks the soft-launch of a new sister site for both publications. As its name suggests, The Alpha Pages will cover all types of alternative investments, going far beyond the more well-known ones such as hedge funds and private equity. Read more…
Credit default swaps brought down the London Whale and cost JPMorgan $6.2 billion. Here is how it happened.