WSJ – A former employee of London hedge-fund group BlueBay Asset Management PLC has been banned and fined £140,000, or about $224,000, by the U.K. Financial Services Authority for deceiving investors and mismarking the value of funds he ran by $27 million, in a case that highlights the scope for deception at hedge funds even when their values are signed off by independent administrators.
The market regulator said Simon Treacher, who had been a senior fund manager in BlueBay’s emerging-markets’ team, “cut and pasted” different prices onto brokers quotes on financial instruments within the funds he managed, lifting the funds’ value by $27 million over three months.
