February 8, 2013 |
The founder of several hedge funds, already serving 10 years in a German prison for defrauding investors of nearly $500 million, is now facing similar charges in Philadelphia. Helmut Kiener, 53, controlled a number of hedgefunds including K1 Global Limited, Oceanus, Mezzanine and K1 Invest. According to federal prosecutors, Kiener misappropriated $311 million in an elaborate Ponzi scheme that he used to pay for a luxurious lifestyle. Among Kiener's alleged victims: Bear Stearns which lost $82 million to Kiener for three years until the financial institution went belly up in 2008; Barclays Bank which lost $137 million and BNP Paribas which lost $13.4 million.
January 28, 2013 |
It was an expensive throw of the dice: Back in 2006, the Pennsylvania State Employees Retirement System (SERS) and its board, headed by ex-state Rep. Nicholas Maiale (D., Phila.) , gave more than $3 billion to six private investment firms so they could use it to buy high-priced hedge fund investments, in hopes of fat profits. The goal was to beat the sluggish stock and bond markets and ease the system's deficit, which had been growing since Gov. Tom Ridge boosted pensions in 2001 but failed to pay for the increase.
September 27, 2012 |
The former CEO of a hedge fund set up for the "little guys" and "moms and pops" admitted today that he conspired with others to swindle those same "little guys" of more than $4 million. Michael J. Spak, 44, of Burlington County, ran the Osiris Fund which convinced 75 people to invest $12 million from June 2009 through November 2011, according to court documents. Though Spak and his associates had promised to take no more than 3 percent fee, they spent $300,000 to buy the "Fintastic," a luxury sportfishing boat, and fraudulently diverted another $4 million, according to U.S. Attorney Paul J. Fishman.
June 27, 2012 |
WEALTHY HEDGE fund CEO Daniel Shak is going after his ex-wife in one of the most lowdown and dirty ways a man can go after a woman. No, he's not after custody of the kids. He's after the shoes. Specifically, he wants to get his hands on his ex-wife Beth's extensive collection of designer stilettos. We're talking Christian Louboutons (a/k/a red bottoms), which start at about $600 and can cost upward of $4,000. Beth owns about 700 pairs of those alone, not to mention numerous pairs by the likes of Walter Steiger, Yves St. Laurent and Jimmy Choo.
April 1, 2012 |
The sale of The Inquirer, Philadelphia Daily News, and Philly.com will likely be announced Monday, according to several sources. A local investor group has spent much of the last two months negotiating to acquire PMN from its hedge-fund owners in a transaction valued at $55 million to $60 million, according to multiple reports. With paperwork still to be signed, delays are always possible at the 11th hour. The buyers of Philadelphia Media Network Inc. are a group of local investors, led by George E. Norcross III, executive chairman of Conner Strong & Buckelew, a South Jersey insurance brokerage; and Lewis Katz, former chairman of Interstate Outdoor Advertising.
March 22, 2012 |
WHY DID City Councilman Bill Green sponsor a bill that exempts private investment or hedge funds and their general managers from paying business taxes? Hedge funds have drawn scrutiny in the wake of the 2008 economic crash, in particular because their managers pay lower levels of federal taxes. But Green, who used to work in finance, says he's not trying to play favorites and is just looking to help the city's economy. "I anticipate this will create jobs and result in far more revenue," Green said.
July 15, 2011 |
The Journal Register Co., which publishes a number of area newspapers, has been sold to a hedge fund with offices in New York, Dallas, Mumbai, and Dubai. Terms of the deal were not disclosed. The purchaser, Alden Global Capital, was an investor in the Journal Register Co., based in Yardley, when it emerged from bankruptcy in July 2009. Alden Global Capital also owns a "significant stake" in Philadelphia Media Network Inc., according to Greg Osberg, publisher and chief executive officer of The Inquirer, the Philadelphia Daily News, and Philly.com.
June 17, 2011
It wasn't just crazy talk Last month, we questioned hedge-fund honcho David Einhorn 's sanity in shelling out $200 million for a 33 percent stake in the Mets. We withdraw the question. Here's why: According to Forbes, if owners Fred Wilpon and Saul Katz do not pay back Einhorn's $200 million investment in three years, the hedge fund manager can obtain a 60 percent stake in the team for an additional $1. A buck. For a franchise that could be worth up to $1 billion.