A pair of registered investment advisers have been barred for favoring a hedge-fund in which one of them was an investor. The Securities and Exchange Commission’s Chief Administrative Law Judge found that J.S. Oliver Capital Management, founder Ian Mausner and portfolio manager Douglas Drennan, had cherry-picked profitable trades and assigned them to a hedge fund in which Mausner and his family invested. Less-profitable trades were given to other clients, including a charitable foundation. http://www.finalternatives.com/node/27925
Wow. This guy is a real dirtbag. I can't believe they didn't get a Grand Jury, but maybe it's forthcoming. The industry is shit. "Less profitable trades"? The three accounts lost 99.7% on average.