Thursday, September 20, 2012

Bogus Fund Managers Go to the Slammer




Oh the bogosity!  The office of Manhattan U.S. Attorney Preet Bharara announced that Michael Katz, 33, of Brooklyn, New York, and Christopher Fardella, 34, of Fort Lauderdale, Florida, also each received three years of supervised release, and were each ordered to forfeit $981,000. Co-conspirator Kristian Murphy-Fuhse, who was also charged for his role in the same scheme, pled guilty in January 2012 and is awaiting sentencing.

According to a complaint filed in a New York federal court, Katz and Fardella, partners in KMFG International, a “phony” hedge fund located primarily in Florida with ties to New York, and their co-conspirators were accused of creating resumes and marketing materials for the fund that enabled them to solicit approximately $1.03 million from investors across the country.

The duo was also accused of using investor funds for such things as expensive meals and trips to Las Vegas without informing investors….

No comments:

Post a Comment