• 09 Dec 2011 at 3:38 PM

Phil Falcone Is Going To Hang On To That Cash For Now

By Bess Levin

Earlier this week, Phil Falcone notified investors in his Credit Distressed BlueLine Fund, in advance of a previously announced April 2012 wind-up. Today, he sent out a letter notifying investors in Harbinger Capital Fund I, Harbinger Capital Partners Offshore Fund I, Harbinger Capital Partners Fund II, and Harbinger Capital Partner Offshore Fund II that they should “anticipate” having redemptions frozen as well, on account of the Well Notice received by the SEC. Happy Holidays. [WSJ]

Comments (14)

  1. 1
    Posted by The Truth | December 9, 2011 at 3:48 PM

    Toss up for fund manager of the year:

    In one corner, down 47% in a flat tape. No halting of redemptions though.

    In the other, Wells Notice + halted redemptions + "LightSquared Inc. wireless service caused interference to 75 percent of global-positioning system receivers examined in a U.S. government test".

  2. 2
    Posted by Guest | December 9, 2011 at 3:56 PM

    In another corner loses millions going short Netflix, writes publicly available mea culpa and goes long it right before it implodes, continues to pay the bills by charging fund managers to hear his sage advice at a conference.

  3. 3
    Posted by WHo? | December 9, 2011 at 3:58 PM

    Could you be a little more nebulous?

    -CFA Level 1 candidate

  4. 4
    Posted by The Truth | December 9, 2011 at 4:08 PM

    Min AUM of Falcone's '08 tax bill

  5. 5
    Posted by Raj | December 9, 2011 at 4:21 PM

    Why didn't I think of that?

  6. 6
    Posted by phil f | December 9, 2011 at 4:21 PM

    So the bottom line is this: your money is not gone in the Jon Corzine sense….but you will not have access to it until further notice.

  7. 7
    Posted by Is this a job? | December 9, 2011 at 4:53 PM

    Not sure what tape you were watching but in a low liquidity environment, weekly up and down moves of greater than 10% isn't exactly flat. Just the ends of the tape are the same level.

    -frustrated pm who is barely scratching for the year

  8. 8
    Posted by trojan_ | December 9, 2011 at 5:36 PM

    its gone in the "You can only exchange your shares for Trident Layers gum" sense

  9. 9
    Posted by guest.... | December 9, 2011 at 10:01 PM

    oh it's gone all right…..lawyers don't work for free, and I think he's already demonstrated his "possession is 9/10th's of the law" proclivities…..

  10. 10
    Posted by Guest | December 10, 2011 at 2:09 AM

    Big whoop. This is only 5 minutes in the penatly box. He'll be out on the ice soon…

  11. 11
    Posted by Guest | December 10, 2011 at 2:11 AM

    On a positive note, there will be no mystery as to what % of funds will be withdrawn before year end.

  12. 12
    Posted by Guest | December 10, 2011 at 2:19 AM

    "Results of tests measuring the degree of interference are expected to be released in the next few weeks, but a congressional aide who has seen a draft government report on the tests said they show LightSquared's network could knock out a "great majority" of GPS devices." from WSJ 12/10/11

    wah-wah-waaaaaaaaahhhhhh…..

    [youtube sC75aU47GRk http://www.youtube.com/watch?v=sC75aU47GRk youtube]

  13. 13
    Posted by Guest | December 10, 2011 at 2:31 AM

    Another Goldman master of the Universe out there destroying the world. Tourre(fall guy?), Draghi(Greek swaps), Corzine, Falcone, H Paulson, …. God's work done good…

  14. 14
    Posted by IgnorantBastards | December 12, 2011 at 8:33 AM

    The dude never worked at GS right? so how about a nice cup of stfu

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