Hedge fund's money is AWOL: Report
Paper says only $150,000 found of reported $150M in assets at International Management Associates.
NEW YORK (CNNMoney.com) - Only about $150,000 of the allegedly $150 million in assets of an Atlanta-based hedge fund has been found by investigators probing allegations of fraud there, according to a published report.
According to the Wall Street Journal, a bench warrant has been issued for the arrest of Kirk Wright, founder and CEO of Atlanta-based International Management Associates, in hopes of getting his help in the search for the firm's assets.
The paper reports that over the past week, the Securities and Exchange Commission and a receiver appointed to mind International Management's assets have scoured the hedge-fund firm's offices, records and accounts, but found only a fraction of its reported net worth.
Among the clients of the fund to have charged they were defrauded are several current and former professional football players who said they invested more than $15 million with International Management.
The paper reports that authorities have spoken with Wright on the phone, but are eager to get more details on the firm and its accounts. Wright didn't return calls by the paper to his cell phone over the weekend and hasn't responded to media queries in recent days. During an interview on Feb. 15, he told the Journal he was aware of "no irregularities" in the firm's operations or accounts, although he acknowledged that no audits of any kind had been done since 2003. He also has claimed that one investor has threatened his life, according to the paper.
For more on the football players who claim to have been defrauded by the fund, click here.