San Diego Union Tribune – The head of a San Diego hedge-fund partnership that lost up to $60 million of investor funds pleaded guilty yesterday to tax evasion and conspiracy to commit mail fraud infederal court in San Diego.<\/p>\n
Marvin Irwin Friedman entered his plea before U.S. Magistrate Judge Cathy Ann Bencivengo in the March 2004 collapse of Global Money Management, a $116 million hedge fund.<\/p>\n
Friedman is scheduled to be sentenced May 15. He could receive a maximum of eight years in prison on the two charges, said Assistant U.S. Attorney Faith Devine, who prosecuted the case.<\/p>\n
Two other people \u00c3\u00a2\u00e2\u201a\u00ac\u00e2\u20ac\u0153 GMM fund co-manager Paul Henrie Levy and bookkeeper Alice Mae Swiderski \u00c3\u00a2\u00e2\u201a\u00ac\u00e2\u20ac\u0153 previously pleaded innocent and await trial.<\/p>\n
A trial date of April 4 was delayed yesterday by Bencivengo over a potential conflict of interest by Levy’s attorney.<\/p>\n
The three operators of the hedge fund were charged last June in a 36-count indictment on charges including conspiracy, perjury, mail and wire fraud, money laundering and tax fraud.<\/p>\n