I swear, some days it seems like we should start the equivalent of a police blotter for hedge funds. Today was one of those days.
News headline: Ex-Madoff Aide indicted for Fraud, Conspiracy
News headline: Ex-IBM Exec looks ready to plead Guilty in Galleon Case
News headline: U.K. arrests Seventh Insider Dealing Suspect
Granted, not all are hedge funds, but all involve hedge funds.
I wonder: are the accused corrupt, stupid, unlucky enough to get caught, or actually innocent. A lot of folks have pleaded guilty in the Galleon case, which, given the U.S. Attorney’s Office’s case in the Ralph Cioffi-Matthew Tannin-Bear Stearns matter, may say a lot about the evidence arrayed against them.
I know today was an aberration, and that the vast majority of people in finance â€“ hedge funds included â€“ are honest, hard working folks trying to get it done by the book. But on days like today, I still have to stop and scratch my head and wonder: what were they thinking?