Fraud in the News
The high-profile hedge fund Ponzi schemes and smaller, less-publicized mortgage fraud criminal enterprises have taken their toll on the U.S. domestic and global economies. Several different U.S. Congressional bills have been proposed to help clean up compliance and fraud-control deficiencies in an effort to address the lack of oversight that has enabled these frauds to thrive.
The Hedge Fund Transparency Act of 2009 (HFTA), introduced by Sens. Chuck Grassley, R-Iowa, and Carl Levin, D-Mich., is one specific proposed financial-sector bill targeted at regulating hedge funds.
We present here an overview and analysis of HFTA and make an educated prediction of the bill's ramifications on U.S. domestic and global anti-fraud professionals. We will follow with a brief look at a related hedge fund bill proposal.