Current news for this fund:
International Management Associates LLC - Fraudulent/inept fund
Count of distinct funds: 1
Kirk Wright wanted very badly to be a wealthy and successful hedge fund manager, catering to the niche of wealthly black Atlantans and famous athletes. Actually working to run the fund, however, was not on his agenda. He thus proceeded to use his charisma to defraud what is said to be more than 500 investors (including a number of high-profile athletes) out of some $185 million. In February 2007, Wright (who is now apparently in jail) was hit with a $20 million fine by the SEC, to help recover some of what was pilfered. However, much more money has not been found or was poured into various luxury expenditures of Wright's, or ill-conceived business ventures. The following passage (found at the first story above) gives some of an idea:
More, from the AJC article (March, 2006) posted at the same link:
It still appears to be unclear how much of the money Wright actually lost "innocently" through bad investing, versus illegitimately pillaging from the fund or pouring into his various business boondoggles.
Comments: Be the first to add a comment
Note: Comments may take a few minutes to show up on this page. If you go to the forum thread, however, you can see them immediately.
Important: This fund is on our list of hedge funds that have "imploded" (see also ailing lenders). However, please note that "imploded" is a somewhat subjective. The "imploded" list contains hedge funds (or other unregulated and autonomous speculative investment funds) which have gone through some sort of permanent adverse change. This is a somewhat subjective call, and does not necessarily mean total shutdown or bankruptcy. It can also mean steep and rapid mark-downs in net asset value; or abnormal "bail-out" by corporate parents or peers in order to avoid write-downs and provide liquidity. The funds are of any type and sector.