Tuesday, 23 September 2014
Last updated 1 hour ago
Nov 17 2009 | 3:48am ET
Helmut Kiener, the German fund of hedge funds manager under investigation for fraud, will remain in prison after a court ruled he is a flight risk.
The K1 Group founder may have defrauded his banks and brokers of about US$400 million, according to German prosecutors. Kiener, who was arrested last month on suspicion of fraud and breach of trust, had sought release on €500,000 bail. But the Würzburg Rgional Court ruled that “there isn’t a sufficient basis of trust even with regard to the high sum that was offered,” Helga Müller, a spokesman for the court, told Bloomberg News.
An earlier bid by Kiener for release on diplomatic grounds—he is registered in the Netherlands as an attaché for the west African nation of Guinea-Bissau—was also rejected.
Two alleged Kiener associates have been arrested in the U.S. and charged with offering to launder money for federal agents during a sting operation. One, Thomas Meyer, has pleaded not guilty to money laundering charges, the other, Stefan Seuss, is reportedly cooperating with the investigation.
Müller told Bloomberg that the evidence strongly supports four counts of fraud and breach of trust. Kiener’s lawyer has said the case is based on “unfounded” allegations made by K1’s banks, which he has accused of organizing a “witch hunt.”
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.