What an obvious scam this was:
How Did U.S. Miss Platinum Partners Red Flags?
In the years before Mark Nordlicht was arrested for what’s alleged to be one of the biggest investment frauds since Bernie Madoff’s, U.S. authorities had plenty of reasons to suspect something might have been fishy about his hedge fund, Platinum Partners.
As far back as 2007, Bank of Montreal accused Nordlicht of helping a rogue trader, costing it more than $500 million. Three years later, when the Securities and Exchange Commission was investigating what it called a “scheme to profit from the imminent deaths of terminally ill patients,” the agency discovered that Platinum had funded the deals. And in 2011, a Florida lawyer who confessed to running a $1.2 billion Ponzi scheme testified that Nordlicht, his biggest funder, lied to help him lure new investors.
And then there were the remarkable profits: 17 percent annually on average from 2003 through 2015, with no down years. The returns were almost as smooth as the fake gains that Madoff claimed year after year, as measured by a popular metric called the Sharpe ratio.
Platinum Partners Not Exactly Making Friends In High Places
New York State not waiting for Platinum's prayers to be answered.
Platinum Partners Executives Become Most Predictable Arrests Ever
Rule number one of running a hedge fund like a Ponzi scheme: Don't.
Stanley Druckenmiller Says Good Times Are Here Again; Whitney Tilson, Ray Dalio Less Sure
The hedge fund world contains multitudes.
Hedge Fund Never Wanted $20 Million Investment It (Allegedly) Bribed Someone To Get
Platinum Partners would really like to disassociate itself with certain investors right now.
So Platinum Partners Maybe Defrauded An Energy Company All The Way To Bankruptcy Court
Was that wrong? Should they not have done that?
Ex-Union Boss Resorts To Fundraising Methods Beyond Hedge-Fund-Bribes-In-Handbag
Plus, it’s unclear whether the $100K Norman Seabrook’s family needs would fit into a Ferragamo.