Posted on 11/23/2010 4:14:56 PM PST by Frantzie
SAC Capital Advisors LP told investors in a letter that it got a government subpoena, according to a person who received the update from the hedge fund firm. SAC said in the letter, dated Nov. 23, that the government served identical “extraordinarily broad” subpoenas on a number of investment managers of different sizes and descriptions, including SAC. The subpoena does not focus on particular individual securities, sectors or strategies, SAC added. The firm said the subpoenas don’t “shed much light on whom or what the government may be investigating.” One focus appears to be on the use of consultants and soft dollars, SAC noted in the letter.
(Excerpt) Read more at zerohedge.com ...
Absolutely. The Great American Shakedown rolls on.
Insider trading.
Shakedown.
5.56mm
Nobody is going to jail. The attorneys get rich, the criminal hedge fund thieves keep their billions and have to fork over millions to the Feds. Hedge funds are above the law especially if the donate to Dems.
The hedge funds, at least from 2005 to 2008, were the ones that went short the entire banking system, and they won.
As far as I’m concerned, they earned every penny of that.
It wouldn’t surprise me to find out that FrontPoint (especially FrontPoint, since they were one of maybe 20 funds that figured out that between the banks and the fed the entire subprime game was rigged, and that they were systematically stealing from both the poor and the middle class) is still shorting the entire system and the feds are going in to try and stop it.
There’s still billions and billions that people can’t figure out where they went. Paulson made Goldman whole at 100 cents on the dollar. That, friends, is a hanging offense. Goldman, and all their filthy bastard henchmen, should be at Pelican Bay in the general population.
“Yup, that guy stole granny’s pension and used it to snort coke of a hookers thigh.”
Along with those freaks should go every crooked congressman that defended Fannie and Freddie.
AIG, believe it or not, was just plain old stupid. What idiot would ensure junk bonds for AAA premiums? AIG would.
The shorts winning in the real estate implosion were was largely John Paulson, Phil Falcone and a few others.
This story is about hedge funds engaging in market manipulation and insider trading. A lot of it in tech and biotech.
Getting back to real estate.
The rating agencies - Moodys, Standard & Poors (McGraw Hill - a scum lib company), Fitch’s and a few others gave mortage backed secs AAA ratings when the mortgages were being given to illegals and people who could not repay the money. These mtg backed secs (MBS) were GARBAGE.
Investment banks plus brokerages like Merrill peddled this MBS s**t.
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