Tuesday, May 8, 2012

Fraud Charges Against Bogus Chicago Hedge Fund Manager


A self-proclaimed prophet and  "legitimate hedge fund" manager has been charged with being anything but. A federal grand jury in Chicago last week indicted Dimitry Vishnevetsky on mail, wire and bank fraud charges. Prosecutors said that Vishnevetsky sold a variety of investments through his Hodges Trading and Oxford Capital, including funds "which existed in name only." The scam ran for almost six years as Vishnevetsky collected about $1.7 million from investors, some of whom received Ponzi scheme-payments as Vishnevetsky sought to cover his fraud, prosecutors said.

In addition to the Ponzi payments, Vishnevetsky used the money on himself. The money he actually traded "consistently resulted in net losses, not profits," according to the indictment. The Commodity Futures Trading Commission filed a parallel lawsuit against Vishnevetsky, Hodges and Oxford….

No comments:

Post a Comment