CitiGroup Hedge Fund
CitiGroup Hedge Fund Makes Gains from Inside Info
The fund, described as “Hedge Fund A,” in a criminal complaint filed in federal court in Manhattan, was identified in a parallel lawsuit by the U.S. Securities and Exchange Commission as Citigroup’s Tribeca Global Management LLC. This fund managed about $2 billion before the bank began to close it in September 2007.
The court filings, stemming from a nationwide federal probe of hedge funds, technology companies and so-called expert networking firms, accuse onetime Tribeca portfolio manager Samir Barai along with a former manager at SAC Capital Advisors LP of illegal insider trading. Barai, 38, surrendered to authorities yesterday. Neither Citigroup nor Tribeca, which the bank began shutting down in 2007, were accused of wrongdoing.
“Barai obtained material, nonpublic information provided to him in breach of fiduciary and other duties or trust and confidence,” according to the criminal complaint. Manhattan U.S. Attorney Preet Bharara announced the charges against Barai, who worked at Tribeca in 2006 and 2007 before starting his own hedge fund. Source