Billy Kobin Louisville Courier Journal Published 6:25 PM EST Nov 8, 2018 A former Louisville investment adviser was indicted in federal court Tuesday for his alleged role in a $4.4 million fraud scheme. Christopher L. Hibbard was charged in the U.S. District Court for the Western District of Kentucky with one count of investment advisor fraud and nine counts of wire fraud. If convicted, Hibbard could face up to 20 years in prison and $250,000 in fines for the wire fraud charges and five years and $10,000 for the investment advisor fraud. Hibbard could not be reached for comment. See also: For 150 years, the Courier Journal has fought for justice and fairness According to the private Financial Industry Regulatory Authority (FINRA), Hibbard worked for Merrill Lynch for more than seven years before he was fired in January and barred from acting as a broker by FINRA. Merrill Lynch spokesman Bill Halldin told the Courier Journal that Hibbard was fired after an internal … [Read more...] about Ex-Louisville investment adviser indicted in fraud case
Investment advisers act
A federal appeals court overturned one of a former Bay Area investment adviser’s convictions Tuesday but upheld most of the case against him for using a sham hedge fund to defraud investors and banks out of millions of dollars. James Murray of Larkspur was convicted by a federal court jury in October 2015 of 23 felony charges of wire fraud, money laundering and identity theft, as well as criminal contempt of court. He was sentenced to 15 years in prison and ordered to pay $3.4 million in restitution to his victims. One of the convictions, which carried a two-year sentence, was for aggravated identity theft, Murray’s use of his ex-wife’s identification to commit fraud. In Tuesday’s ruling, the Ninth U.S. Circuit Court of Appeals found a lack of evidence that he had used the identification while committing the fraudulent acts described in the charges. But the court upheld the rest of Murray’s convictions, including one for contempt of court while awaiting … [Read more...] about Appeals court tosses 1 conviction, upholds others against a former investment adviser
A year ago, Gov. Wolf signed off on the General Assembly’s pension reform law. It is starting to affect your wallet, whether you’re a teacher, a trooper, or otherwise counting on state retirement checks. The law, Act 5 of 2017, doesn’t close the multi-billion-dollar gap between what the state has promised retired public workers, and what they’ve set aside to pay those pensions, which will have to be paid by the commonwealth eventually. It does stop the growth in that gap, which had depressed the state’s credit rating and forced taxpayers to pay millions extra in annual borrowing costs. It also slows the relentless annual cost increases that add more than 30 cents in pension payments, from every dollar paid to state and school workers in salaries, up from close to zero in the early 2000s. The law cut future obligations by ending the state’s guarantee to pay retired staff pretty close to what some of them made when … [Read more...] about Can Harrisburg insiders really find a better way to invest the state’s pension billions?
Correction: The original version of the Investment Advisers list incorrectly identified the top executive for CBIZ Retirement Plan Advisory Services. Brian Dean should have been listed as president. So what exactly is the difference between an investment adviser and a money manager? At a glance, the firms on our Money Managers list and Investments Advisers list might look similar. • TO SEE THE FULL LISTS, BECOME A DATA MEMBER In some ways, they are: Technically, the firms on both lists are all registered investment advisers regulated by the U.S. Securities and Exchange Commission or, for the smallest firms, by the state of Ohio. That means that they're all somehow engaged in providing advice related to investments and/or managing portfolios. And the "registered" part means they're legally bound to act in their clients' best interests. Making matters more confusing, some firms are hybrids, providing both money management and investment advisory services (more on that later). So, … [Read more...] about Lists: Money managers, investment advisers … what’s the difference?
The “Small-Business Credit Availability Act” was passed by Congress and signed by President Trump to ease assets-to-debt ratios from 2-to-1 to 1.5-to-1 for “business development companies” — BDCs, firms that bundle corporate debt into funds they sell to investors — writes S&P Global Rartings in a report last week. The sector includes South Philly-based FS Investment Corp., and rival BDCs owned by BlackRock, Texas Pacific Group, and 76ers owner Josh Harris’ Apollo Global, among other big firms. The change will “increase credit risk” in what is already a competitive business, writes the S&P analyst team, headed by Matthew Carroll. The new law makes BDCs no safer than “other nonbank finance companies,” Carroll wrote. That means S&P expects to drop most of their credit ratings from around BBB- to BB+, same as other nonbank finance companies, but a notch down from where they deserved to be when the rules … [Read more...] about Congress and the president have made BDC investments more risky: S&P