Thursday, May 31, 2012

Hedge fund boss guilty of $600 million fraud


Reuters reports that Magnus Peterson, the boss of collapsed hedge fund business Weavering, has been found guilty of defrauding investors and ordered to pay hundreds of millions of dollars in damages.

London's High Court ruled that Peterson, manager of the Weavering Macro Fixed Income fund, deceived clients and breached his duty of care to investors with a strategy that could not cope with the vagaries of markets at the height of the global credit crisis.

Damages of $450 million were awarded against Peterson, seated next to a fellow defendant when the judgment was handed down on Wednesday, and three other directors….

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