Tuesday, 24 November 2015
Last updated 20 hours ago
Oct 7 2009 | 10:00am ET
The latest Ponzi scheme isn’t a hedge fund fraud, but allegedly a defrauder of hedge funds.
According to prosecutors, a pair of scam artists took in a number of smaller hedge funds and private equity firms as part of an $80 million Ponzi scheme. Federal prosecutors in New York have charged Vance Moore II and Walter Netschi with running a fraud that promised victims it would invest their money in automatic teller machines.
According to the indictment, Netschi told investors that he placed ATMs in high-traffic retail areas. He then had the investors sign an agreement with a phony company allegedly run by Moore, which was supposed to service, process and maintain the ATMs.
The two claimed to have purchased some 4,000 ATMs, but about 90% of those were either fake or owned by other companies, prosecutors said. Meanwhile, the promised returns in excess of 20%.
Both men have been charged with wire fraud and conspiracy.
Oct 21 2015 | 10:41am ET
One of the most unique charity benefits in the hedge fund industry, A Leg To Stand On's (ALTSO's) Hedge Fund Rocktoberfest - NYC, raised nearly $500,000 last Thursday thanks to the generous support of major sponsors and nearly 1,400 attendees from the Tri-State finance, business and hedge fund communities. Read more…