Criminal case filed in scandal

[Nottingham]

Criminal case filed in scandal
Late trading leads to felony charges
By MEG RICHARDS
Associated Press
NEW YORK -- New York prosecutors filed the first criminal counts Tuesday in their investigation of mutual fund trading practices, charging a former Bank of America broker in a scheme they said cost investors tens of millions of dollars.
Theodore Sihpol III, 36, surrendered Tuesday to face felony charges of grand larceny and violations of securities law, New York Attorney General Eliot Spitzer said at a news conference where the Securities and Exchange Commission also announced civil charges against him.

Sihpol was in custody following his arraignment in Manhattan Criminal Court late Tuesday. Judge Melissa Jackson set bond at $750,000 and agreed it could be secured by $50,000 in cash, but Sihpol brought a certified check. He was expected to be freed on bond by this morning at the latest.

Authorities allege Sihpol helped Canary Capital Partners, a multimillion-dollar hedge fund, gain special opportunities known as late trading, in which mutual fund shares are bought at the 4 p.m. price after the market closes. Late trading is prohibited by New York law and SEC rules. Ordinary investors who place late orders must pay the following day's price.

Sihpol's lawyer, Don Buchwald, said Spitzer's civil complaint in the Canary Capital case makes clear that when the hedge fund proposed the trades in question, Sihpol "sought and obtained approval for Canary's trading procedures from all appropriate personnel and levels at the bank."

http://www.chron.com/cs/CDA/ssistory.mpl/business/2104059

more...

Heres a thought could Spitzer be slowly moving up the food chain in Enron to Ken Lay! I think this guy is great! :bounce:

[TahitiNut]

1. Can BofA spell RICO?

Sihpol "sought and obtained approval for Canary's trading procedures from all appropriate personnel and levels at the bank."

Sounds to me like collusion to violate the law. Prosecute 'em all.

[sattahipdeep]

2. Heres a thought 9/11

Why are people ignoreing Krongard? Not a good idea.

Bankers Funded Enron AlQuada and US CIA Coup Efforts and Corp. Death Squads

http://washingtonpost.com/wp-dyn/articles/A16570-2001Mar16.html

But Krongard exhibited the requisite secretiveness when asked
to explain his interest in intelligence and how he came to land
a job in Tenet's inner circle. If you go back to the CIA's origins
during World War II in the Office of Strategic Services, he
explained, "the whole OSS was really nothing but Wall Street
bankers and lawyers."

Keeping the light off of himself.

"If you don't worry about who gets the credit, you can
accomplish an awful lot."

Smart like a fox.

Curious trades. Curious connections. No public release of AN investigative
findings...And no one talks abou it anymore. ALL coincidence?

[Nottingham]

3. Ya I bet there is connections and Spitzer is really getting everybody

Nervous as Hell! I wish more attorney generals from other states would unite with Spitzer in prosecuting this Enron Mutual fund Bank food chain lawsuit

cause many people pensions were destroyed by Enron