Oddbean

Archegos founder Bill Hwang guilty in multibillion-dollar fraud case ========== Bill Hwang, founder of Archegos Capital Management, has been found guilty of fraud and market manipulation in a case related to the fund's 2021 implosion. Hwang was convicted on 10 of the 11 charges he faced and could face life in prison. Archegos, a family-owned hedge fund, had taken large bets on stocks with borrowed money from banks. When one of those bets went wrong, the fund was unable to cover the losses, leading to its collapse and causing $10 billion in losses for major financial institutions. Credit Suisse was the hardest hit, losing $5.5 billion. Archegos's former CFO, Patrick Halligan, was also found guilty on three counts. The case revealed that Hwang had instructed an executive to misrepresent Archegos's finances. The fund had taken stakes in several companies, including ViacomCBS, with the goal of driving up share prices. However, when ViacomCBS announced a capital increase, triggering a sell-off, the value of Archegos's shares plummeted, impacting the banks that had provided funds to the firm. #Archegos #BillHwang #Fraud #MarketManipulation #HedgeFund #Banks #CreditSuisse #PatrickHalligan #Viacomcbs https://www.legit.ng/business-economy/economy/1601603-archegos-founder-bill-hwang-guilty-multibillion-dollar-fraud-case/