Hedge fund fraudster transferred money from US to Malta
A Utah hedge fund manager has admitted to defrauding investors of more than US$30 million, transferring the money to accounts in Malta and Switzerland.
22 December 2011, 12:00am
Karl Stagno-Navarra
Karl Stagno-Navarra
1 min read
FBI agents were involved in the investigations that led to the arrests of the fraudulent fund managers who transferred money to Malta and Switzerland
Thomas Repke pleaded guilty to conspiracy two weeks before his trial was to begin in an Atlanta federal court.
Repke and his accomplice, James Jeffery, were charged last December; Jeffery pleaded guilty in April.
Repke's and Jeffery's Coadum Capital ripped off more than 100 investors, prosecutors said.
The two allegedly promised 5 percent a month return, but actually stole more than US$20 million of the money raised, transferring it to accounts in Switzerland and Malta, rather than investing it in hedge funds allegedly run by a Malta-based trader.
According to prosecutors, only a fraction of the almost US$40 million raised by Coadum was left in by the end of 2007.
Coadum also made Ponzi scheme payments, US prosecutors said.
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No surprises he chose Malta. We have made quite a reputation for ourselves.
