{"id":43499,"date":"2014-08-11T08:28:17","date_gmt":"2014-08-11T12:28:17","guid":{"rendered":"http:\/\/www.hedgeco.net\/news\/?p=43499"},"modified":"2014-08-11T08:30:00","modified_gmt":"2014-08-11T12:30:00","slug":"sec-brokerage-firm-worked-with-a-hedge-fund-to-hide-45-million","status":"publish","type":"post","link":"https:\/\/hedgeco.net\/news\/08\/2014\/sec-brokerage-firm-worked-with-a-hedge-fund-to-hide-45-million.html","title":{"rendered":"SEC: Brokerage Firm Worked With A Hedge Fund To Hide $45 Million"},"content":{"rendered":"<p><a href=\"http:\/\/www.hedgeco.net\/news\/wp-content\/uploads\/2010\/05\/white_collar_crime.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"alignright  wp-image-15931\" src=\"http:\/\/www.hedgeco.net\/news\/wp-content\/uploads\/2010\/05\/white_collar_crime.jpg\" alt=\"white_collar_crime\" width=\"349\" height=\"231\" srcset=\"https:\/\/hedgeco.net\/news\/wp-content\/uploads\/2010\/05\/white_collar_crime.jpg 459w, https:\/\/hedgeco.net\/news\/wp-content\/uploads\/2010\/05\/white_collar_crime-300x198.jpg 300w\" sizes=\"auto, (max-width: 349px) 100vw, 349px\" \/><\/a>New York (HedgeCo.Net) &#8211; Hedge fund manager\u00a0Nikolai Battoo is again under investigation, this time for his inappropriate business dealings with\u00a0Bahamas-based brokerage firm Alliance Investment Management Limited.<\/p>\n<p>The SEC alleges that Julian R. Brown and his firm Alliance Investment Management Limited (AIM) purported to be the \u201ccustodian\u201d for assets under the management of Nikolai Battoo.\u00a0 The SEC obtained a court-ordered freeze over Battoo\u2019s assets after charging him in 2012 with defrauding investors\u00a0around the world by hiding major losses while falsely boasting that their investments were performing remarkably during the financial crisis.<\/p>\n<p>Brown and AIM allowed Battoo to create false account statements on AIM letterhead that vastly overstated the value of investors\u2019 assets by more than $150 million. Brown and AIM then routinely provided the false account statements to auditors and others acting on behalf of Battoo\u2019s investors.<\/p>\n<p>The SEC further alleges that Brown and AIM permitted Battoo to misappropriate at least $45 million of investor funds by transferring money at Battoo\u2019s behest from investor accounts to Battoo\u2019s direct control. Battoo used investor funds to pay AIM and Brown more than $5 million in return for their critical assistance.<\/p>\n<p>\u201cWe allege that Brown and his firm enabled Battoo\u2019s scheme by providing investors with false assurances about who was holding their money and how much money they had in their accounts,\u201d said Timothy Warren, associate director of the SEC\u2019s Chicago Regional Office.<\/p>\n<p>Alex Akesson<br \/>\nEditor For HedgeCo.net<br \/>\nalex@hedgeco.net<br \/>\nHedgeCo.Net is a premier hedge fund database and community for qualified and accredited investors only. Membership in HedgeCo.net is FREE and EASY. We also offer FREE LISTINGS for Hedge Funds!<\/p>\n","protected":false},"excerpt":{"rendered":"<p>New York (HedgeCo.Net) &#8211; Hedge fund manager\u00a0Nikolai Battoo is again under investigation, this time for his inappropriate business dealings with\u00a0Bahamas-based brokerage firm Alliance Investment Management Limited. The SEC alleges that Julian R. Brown and his firm Alliance Investment Management Limited [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11,3],"tags":[],"class_list":["post-43499","post","type-post","status-publish","format-standard","hentry","category-hedge-fund-fraud","category-hedgeco-news"],"_links":{"self":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/43499","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/comments?post=43499"}],"version-history":[{"count":2,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/43499\/revisions"}],"predecessor-version":[{"id":43504,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/43499\/revisions\/43504"}],"wp:attachment":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/media?parent=43499"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/categories?post=43499"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/tags?post=43499"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}