Jury Acquits Bear Stearns Fund Managers of Securities Fraud

Ralph Cioffi and Matthew Tannin, hedge fund managers at investment bank Bear Stearns, were acquitted of charges relating to alleged securities fraud. in June 2008, Cioffi and Tannin were arrested and processed at Federal Bureau of Investigation (FBI) headquarters in Manhattan. As HousingWire previously reported, the two Bear Stearns funds managed by both men — the High-Grade [...]

Former Bear Stearns Mortgage Fund Managers Arrested

Federal officials arrested two former hedge fund managers from once high-flying Bear Stearns Cos. on Thursday morning, in a very public display by officials from the Federal Bureau of Investigation’s New York office. Both Ralph Cioffi and Matthew Tannin were taken into custody at their homes, and processed at FBI headquarters in Manhattan; both men [...]

Criminal Charges Pending Over Bear Stearns Hedge Fund Fiasco: Report

The credit crisis may get its first formal criminal charges against Wall Street execs in coming days, according to a published report Monday. The Wall Street Journal reported that federal prosecutors are preparing to charge two former Bear Stearns & Cos. managers with securities fraud tied to the well-publicized implosion of two hedge funds at [...]

WSJ: Bear Stearns Mortgage Funds Under Criminal Investigation

Two mortgage-related funds that collapsed at Bear Stearns earlier this year amid the intial subprime credit meltdown are now the subject of a criminal investigation, the Wall Street Journal reported today. From the story: The U.S. attorney in Brooklyn has made a request to Bear Stearns for information related to the hedge funds, whose failure cost investors [...]

It’s Official: Bear Sees Troubled Subprime Hedge Fund Implode, Other Likely to Follow

Following up on a story I’ve blogged quite a bit about, the Wall Street Journal is reporting that Bear Stearns has siezed assets out of one of its own troubled hedge funds after it became clear that no additional cash or collateral would materialize to repay the $1.6 billion line of credit the Wall Street [...]

Update: Bear Stearns Tells Investors Subprime Hedge Funds are ‘Almost Worthless’

Updating an earlier post, it looks like those in the financial markets had good reason to brace themselves for bad news — but I doubt even those braced for the worst were expecting to see a near complete collapse of the two Bear Stearns funds I’ve been blogging incessantly about during the past month. Talk about [...]

BusinessWeek: SEC Opens Inquiry into Bear Stearns’ Fund

BusinessWeek broke the story today that the Securities and Exchange Commission is now looking into Bear Stearns’ handling of at least one of its two troubled hedge funds: … the Securities & Exchange Commission recently opened a preliminary inquiry into the near-collapse of Bear Stearns’ High-Grade Structured Credit Strategies Enhanced Leveraged Fund. People familiar with the [...]

Bear Stearns Allegedly Offers $3.2 Billion to Avert Fire Sale

According to a Bloomberg report, Bear Stearns looks like it may assume $3.2 billion in collateral on one of its two troubled hedge funds, both of which have lost value as a part of the mortgage bond market has tanked in recent days. Bloomberg reports: An agreement between the creditors and New York-based Bear Stearns, the second-biggest [...]

More on Bear Stearns: Merrill Lynch to Liquidate Assets

The Wall Street Journal reported late Tuesday that Merrill Lynch will go ahead with collateral liquidation and dump a troubled Bear Stearns hedge fund tied to subprime mortgages — an ominous sign to say the least. An auction Wednesday could come as a blow to the fund, known as the High-Grade Structured Credit Strategies Enhanced Leverage [...]

Turnabout is Fair Play: Bear Stearns’ Subprime Fund Trouble

The Wall Street Journal is reporting that a troubled Bear Stearns’ hedge fund, the High-Grade Structured Credit Strategies Enhanced Leverage Fund, has received an extra day from investors to secure “bailout” funding (subscription req’d) intended to keep the fund afloat and prevent it from falling victim to margin calls. The highly-leveraged fund in question invested [...]