Authorities are investigating the suspected suicide of hedge fund manager Samuel Israel III, who failed to begin his prison sentence yesterday, after being convicted of defrauding investors of $400 million. Though his lawyers sought leniency, noting that Israel has back problems and is addicted to painkillers, US District Judge Colleen McMahon told the Bayou Group co-founder, “You were, in every meaning of the sense, a career criminal. You ruined lives…[and] suffered from these ailments [doing so],” before sentencing him to 20 years in prison. A car registered to Israel was found Monday afternoon on Bear Mountain Bridge, forty miles north of NYC, with the phrase “Suicide is Painless” scrawled in dust on the hood. Obviously, this is not a laughing matter. So we put forth the following completely sincerely: it’s getting hard to keep track of these guys. Since, to date, no white collar criminals facing jail time have taken our advice to take a cue from convicted tax evader Wesley Snipes, out of utility it might be wise for someone to start some sort of body counter for hedgies, a la The Hedge Fund Implode-O-Meter. Maybe The Hedge Fund Manager Implode-O-Meter? Or whatever you want to call it.
Police Investigating Possible Suicide by Hedge Fund Cheat [ABC News]

Comments (38)

  1. Posted by american bandersnatch | June 10, 2008 at 12:41 PM

    Good M*A*S*H reference – a nice note to end it all on.

  2. Posted by Lowly Assistant | June 10, 2008 at 12:42 PM

    No, this is definitely a laughing matter.

  3. Posted by To The Hilt | June 10, 2008 at 12:44 PM

    ab,
    beat me to it. good catch.

  4. Posted by guest | June 10, 2008 at 12:48 PM

    Alas, poor Sammy three-sticks, I knew him well.

  5. Posted by NotNasser | June 10, 2008 at 12:49 PM

    In the Bayou case, this “suicide is painless” scrawl is the SECOND suicide note.
    The first one, you’ll remember, was a rambling six page letter that Dan Marino left on his desk as the Bayou scheme was coming unravelled in 2005.
    It had classic lines in it like, “If there is a hell, I’ll roast there for eternity.” This was discovered by an investor who had shown up at the office to ask some questions.
    I’m curious whether this threatened suicide is more of a for-real thing than that one turned out to be.

  6. Posted by guest | June 10, 2008 at 12:50 PM

    You know, I’ve known the name of the M*A*S*H theme song for a very long while, but didnt know there were actual words that go to it until the family guy parody.

  7. Posted by lemmerdeur | June 10, 2008 at 12:51 PM

    How come this isn’t a laughing matter? What are you, English?

  8. Posted by guest | June 10, 2008 at 12:54 PM

    When is it fair to distinquish hedge fund managers from a long-time operator of a Ponzi scheme? I would say this guy was not a hedge fund manager, but a career criminal disguised as a hedge fund manager.

  9. Posted by HAM05 | June 10, 2008 at 1:06 PM

    if i were facing these charges, a note and an empty car is what id leave behind too. and then head to a no extradition tropical locale.
    im just sayin

  10. Posted by guest | June 10, 2008 at 1:07 PM

    Actually Ponzi’s “scheme” started as an fx arbitrage fund. True story.

  11. Posted by Anal_yst | June 10, 2008 at 1:17 PM

    @ HAM
    That brings up a good point. If you’re going down (remember that Kim guy from south florida a few years back?), which non-extradition country do you flee to, and why?

  12. Posted by guest | June 10, 2008 at 1:17 PM

    was there a smiley face painted on anything nearby.
    let’s put on our thinking caps, geniuses. he’s got centi-millions collecting the risk-free rate in Swiss accounts, and he’s supposed to show up for *jail.*
    his car is found on a bridge with a really clever suicide note and…they assume he really jumped?
    yeah, he jumped all right. Into a limo headed to the airport, replete with a new identity.

  13. Posted by guest | June 10, 2008 at 1:18 PM

    1:06- yep faked death for sure

  14. Posted by guest | June 10, 2008 at 1:32 PM

    @ Analyst 1:17pm
    Marshall Islands.

  15. Posted by guest | June 10, 2008 at 1:32 PM

    Fake performance figures, fake CPA firm to sign off on fake financials, real suicide note. I don’t think so.

  16. Posted by guest | June 10, 2008 at 1:34 PM

    That’s why I always wanted them to do a DNA test on Jeff Skilling’s alleged dead body.

  17. Posted by Novice | June 10, 2008 at 1:40 PM

    Anal and HAM,
    Gossip Girl says head to Dominica. Or the Dominican Rep, I wasn’t really paying attention

  18. Posted by guest | June 10, 2008 at 1:45 PM

    the details of Skilling’s death have been greatly exaggerated….. as he is still currently in jail.
    ken lay, however, is more of a question mark… But most likely he is still alive and well too… probably waiting for ‘ole Isreal to show up to get the party started…

  19. Posted by guest | June 10, 2008 at 1:54 PM

    Off topic but:
    Study: One-Fourth Of NYC Residents Have Herpes
    Rates Of Chlamydia, Gonorrhea, And Infectious Syphilis Are Also Higher Than The National Average

  20. Posted by Anal_yst | June 10, 2008 at 1:55 PM
  21. Posted by guest | June 10, 2008 at 1:58 PM

    I am not taking legal advice from gossip girl,

  22. Posted by guest | June 10, 2008 at 2:11 PM

    fuck that’s a bleak list. i’m a Jew so my options are pretty limited. i could see myself being happy in the maldives i guess.

  23. Posted by HAM05 | June 10, 2008 at 2:13 PM

    @1:54 – carney has been on a rampage lately, dont know what to tell you
    @anal – id prob change my face and move to jost
    @novice – dont trust dat ho

  24. Posted by guest | June 10, 2008 at 2:15 PM

    pago pago.
    but I ain’t a theif, so why bother?

  25. Posted by guest | June 10, 2008 at 2:16 PM

    @2:11–I think it’s a Muslim country, unfortunately, but very beautiful.

  26. Posted by Bulging Bracket | June 10, 2008 at 2:16 PM

    If you’re jewish and can prove so to the satisfaction of the hard assed orthodox rabbis in Israel, you have a nice little beach front resort that’s non-extradition. Bad neighbourhood but great otherwise.

  27. Posted by guest | June 10, 2008 at 2:19 PM

    dumbass Pago Pago is in American Samoa. you think they can’t get your ass back from american samoa? its an american territory and there’s only like 10k people there. dude you’re better off in puerto rico at least there’s a few million people in PR

  28. Posted by guest | June 10, 2008 at 2:22 PM

    I’ll take Vanuatu if that’s the list. No taxes, small peaceful population, English is an official language, and tropical.

  29. Posted by guest | June 10, 2008 at 2:23 PM

    @2:16 yeah i know, tough choice, i’m hoping that i am fleeing for massive theft with a bucket of cash so that i can hole up at a Banyan Tree or something, and not murder or some low-rent crime like that
    BB Israel? My wife recently extradited an accused criminal from Israel recently. You mean the Rabbis will hide me in the negev somewhere?

  30. Posted by Suits | June 10, 2008 at 3:17 PM

    Burkina Faso? Disputed Zone?

  31. Posted by guest | June 10, 2008 at 3:24 PM

    @ 2:15. Sorry – can’t let it get by -
    you are also no speller. I before E.
    THIEF. To the subject at hand – the authorities are definitely suspicious. Too pat. Too contrived. Too clever.

  32. Posted by NotNasser | June 10, 2008 at 5:06 PM

    2:24 It’s possible that one of the Refco scammers has taken up residence in Angola.
    http://nakedshorts.typepad.com/nakedshorts/minusfunds/index.html

  33. Posted by NotNasser | June 10, 2008 at 5:06 PM

    2:24 It’s possible that one of the Refco scammers has taken up residence in Angola.
    http://nakedshorts.typepad.com/nakedshorts/minusfunds/index.html

  34. Posted by NSD | June 10, 2008 at 5:28 PM

    Micronesia – get shacked for the rest of your life.
    http://magicseaweed.com/photoLab/viewPhoto.php?photoId=49097

  35. Posted by onetwo | June 10, 2008 at 6:40 PM

    Hey guys, settle down. A dude did kill himself. That’s not quite one of those light hearted topics to run with.
    Oh, and Maldives for sure.

  36. Posted by guest | June 11, 2008 at 8:44 AM

    Have you been? what better place to hide out than someplace I always wanted to go anyway

  37. Posted by guest | June 11, 2008 at 1:44 PM
  38. Posted by guest | June 11, 2008 at 4:10 PM

    1:06 pm yesterday got it right:
    http://www.finalternatives.com/node/4581
    (I prefer the Marilyn Manson version, but the full song is performed in the real [movie] version of M*A*S*H.)

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