You can find background on the Cornerstone case right here. As for what's happening in the new and now, former Cornerstone Capital Management executive, Joseph Profit the second (and how could you go wrong with a hedge fund manager of that name?) was in the news, having received a permanent injunction preventing he and his firm from profiting further from their fraudulent activities. They'll also face civil penalties and be forced to pa restitution to wronged parties - amounts as yet uncertain.

-- MDT

Labels: CFTC, Cornerstone Capital Management, Joseph Profit

New York-based hedge fund, Cornerstone Capital Management and company executive Joseph Profit (oh come on - he made that name up!) are facing fraud charges from the Commodity Futures Trading Commission. The CTFC complaint, filed in the Georgia Northern District Court accuses Profit and Co. of concealing material information from the National Futures Association and defrauded investors by missrepresenting potential rates of return.

Further details via Hedgeweek. You can check out Cornerstone's NFA suspension here as well as the CTFC press release here.

-- MDT

Labels: CFTC, Cornerstone Capital Management, Fraud, hedge fund, Joseph Profit