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Strategies & Market Trends : Anthony @ Equity Investigations, Dear Anthony, -- Ignore unavailable to you. Want to Upgrade?

To: StockDung who wrote (92125)	8/12/2005 8:28:47 AM
From: rrufff	Read Replies (1) \| Respond to of 122087

I'll have to disagree respectfully on that one. I'm not a fan of litigation of the trading issues as I suspect courts will continue to try to avoid them. Too complicated and they can always use the rationale that they will not put their judgment over that of regulatory agencies. However, given my reservations, I think it's a good thing that the issue has some high powered, respected individuals joining in the discussion, particular when it comes to shenanigans of hedgies and others who steal from retail investors. They'll have the money to get some interesting discovery in admittedly very tough conspiracy type issues. Let's see if the Rocker crims left any e-mail evidence lying around similar to the Merril guys or the Enron guys. Probably too smart but we'll see.

To: StockDung who wrote (92125)	8/14/2005 1:53:36 PM
From: rrufff	Respond to of 122087

Floridians Lose Millions in Hedge Fund Sat Aug 13, 7:33 PM ET Dozens of wealthy investors were scammed out of $160 million by three self-proclaimed hedge fund operators who set up flashy offices in Palm Beach County, took their money and ran, federal investigators said. Now, months after authorities became suspicious, two of the three partners have fled the country, and the third isn't answering questions from investigators. Most of KL Financial's 200 clients were men of retirement age. Gary Klein, a lawyer representing dozens of them, told The Miami Herald that he has clients who lost everything. The SEC has filed a formal complaint accusing KL Financial of misrepresenting the fund's performance and possibly misappropriating money. A federal court has frozen the company's assets. Mike Tein, one of KL's court-appointed receivers, said the three men directly received $20 million during their six-year reign at KL, spending lavishly on million-dollar homes, exotic sports cars and frequent trips to Las Vegas. Within 24 hours of a surprise visit to a KL Financial office in California in February by SEC investigators, Won Lee, 34, reportedly cashed in frequent-flier miles for a one-way ticket to South Korea. Investigators have not heard from him since. Another partner, Yung Kim, 34, vanished a day later, but answered a surprised investigator's cell phone call weeks later. The line went dead after Yung was asked where he was, and authorities haven't heard from him since, Tein said. Chief trader John Kim, 36, remains in Florida and has promised to cooperate with investigators. But during a March 11 deposition, John Kim asserted his Fifth Amendment right to avoid self-incrimination to each of 195 questions. His attorney, Gregory C. Ward, said in a March 16 motion that Lee and Yung Kim were to blame for losing the firm's money "without John Kim's knowledge or participation." Copyright © 2005 The Associated Press. All rights reserved. The information contained in the AP News report may not be published, broadcast, rewritten or redistributed without the prior written authority of The Associated Press.

To: StockDung who wrote (92125)	8/14/2005 3:04:47 PM
From: afrayem onigwecher	Read Replies (1) \| Respond to of 122087

BUY-IF americanbulls.com

To: StockDung who wrote (92125)	8/14/2005 8:42:41 PM
From: scion	Respond to of 122087

Pay for Performance: Are CEOs Underpaid? We were struck by the news that hedge fund chief executive Edward Lampert personally earned $1 billion in 2004 and that the top 25 hedge fund managers averaged $251 million. A hedge fund manager typically gets a 20 percent cut of the increase in the market cap of the fund’s holdings. The hedge fund camp says this is pay for performance. The mantra is, “We only get paid if we make money for our clients.” But let’s do the math. What would happen if Jeff Immelt got the same 20 percent? General Electric has a market capitalization of roughly $390 billion and in many ways is a portfolio of different operating units, much as a hedge fund is. If Immelt had a good year and increased GE’s market cap by 20 percent, or roughly $80 billion, he’d be entitled to take home $16 billion. Think of the outrage that would provoke. What makes the hedge fund pay packages all the more shocking is that hedge funds are a source of the grumbling about CEO compensation. Yet the shares that CEOs may receive only increase in value if all shareholders benefit. Why is that so different from what happens at a hedge fund? Plus, hedge fund managers run organizations that are much smaller than major companies, which implies they are less complex and less difficult to manage. Further, they don’t run nearly the same personal risks—CEOs now are criminally liable for bad accounting. Perhaps the moral of the story is that people who live in glass houses should not throw stones. Taking huge compensation packages while criticizing real CEOs is just plain hypocrisy. chiefexecutive.net