Two former Bear Stearns hedge fund managers were on Thursday indicted on federal charges that they intentionally misled investors about the condition of the investment vehicles that collapsed last year. In an indictment unsealed on Thursday, Ralph Cioffi and Matthew Tannin, who ran two high-profile hedge funds for Bear, were accused of telling investors that the funds were an “awesome opportunity” even as they privately discussed concerns about the funds’ prospects. Cioffi also allegedly transferred about $2m of his own investment from one of the funds into another fund and did not tell investors. For more on the case click on FT Alphaville posts here and here
