Hedge Fund Diamondback Founders Schimel and Sapanski Plan New Fund

(Reuters) The founders of Diamondback Capital, one of a handful of hedge funds touched by the U.S. government’s insider trading probe, have reunited and are working on a new investment project, people familiar with the matter said.Richard Schimel and Larry Sapanski are in the early stages of mapping out a new business nearly six years after shutting down Diamondback when investors pulled out roughly one quarter of the firm’s capital.

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