Centre Daily Times- Austrian authorities have arrested a man wanted by the FBI for failing to appear at his sentencing hearing in New York more than five years ago, police said Tuesday.
Michael Berger, a 35-year-old Austrian citizen who was born in London, was arrested Friday afternoon while driving on a highway about 28 miles northeast of Salzburg, federal police spokesman Gerald Hesztera said.
Berger, an investment banker, was alone in the car and “very calm” at the time of his arrest, said Hesztera, who declined to provide details on how authorities were able to track him down.
Following his arrest, Berger was taken to a court in the Upper Austrian city of Wels.
According to information on the FBI’s Web site, Berger pleaded guilty to charges of securities fraud in November 2000 but failed to appear at his sentencing hearing in March 2002 in New York.
In 1995, Berger founded a company called Manhattan Investment Fund Ltd., a hedge fund opened primarily to offshore investors with a minimum of $250,000 to invest, the FBI said. He also established a subsidiary company open to U.S.-based investors.
Starting in September 1996, the value of the company’s assets began to deteriorate significantly, according to the FBI. However, Berger concealed the losses by falsifying statements and other documents sent to clients and auditors. By the end of 1999, Berger had lost more than $400 million.
