Judge May Free Nadel On Bail

Jun 17 2009 | 12:07pm ET

After four months in jail, accused hedge fund fraudster Arthur Nadel may soon be able to go home to Florida.

A federal judge in New York, where Nadel faces mail, securities and wire fraud charges, said he was inclined to reduce the indicted hedge fund manager’s bail from $5 million. U.S. District Judge John Koeltl noted that, since his arrest in January, Nadel has not been able to come up with $1 million in cash to secure his bond, and pointed out that just about all of his assets and those of his wife have been seized.

The judge said he would consider allowing Nadel to post bail secured by his Sarasota, Fla., home, since “no other assets have been identified to secure the bond.” He scheduled a hearing for June 25.

Prosecutors have fought efforts to cut Nadel’s bail, noting that the Scoop Management chief went missing for two weeks after his alleged Ponzi scheme collapsed earlier this year. But Nadel’s lawyers say he can’t properly prepare for trial while jailed.

Nadel is accused of defrauding investors in six hedge funds he managed of $168 million. According to prosecutors, he “earned” $65.5 million, after taxes, in fees during the scheme, but that only $16 million has been recovered.


In Depth

Q&A: Quad Advisors’ Borish Is Looking For Real Traders, Not Index Huggers

Aug 20 2014 | 1:43pm ET

Peter Borish, who served as founding partner and director of research at Tudor Investment...

Lifestyle

Nicky Hilton To Wed James Rothschild

Aug 20 2014 | 5:23am ET

When it comes to husband-material, socialite Nicky Hilton is sticking with finance...

Guest Contributor

Looking Ahead: What’s In Store For Managed Futures?

Aug 22 2014 | 12:52pm ET

The last five years were phenomenal for investors in equity indices. Will the next...

 

Editor's Note

 

Futures Magazine

PREVIEW July/August 2014 Cover

Inside Futures' 500th Issue

The July/August 2014 issue is our largest in years—filled with the best trading strategies and stories from 43 years of being the primary publication for commodity, stock, options and forex traders.

The Alpha Pages

TAP July/August 2014 Cover

Real talk on alternative investments, business & finance

The Alpha Pages Editor's Note