Fund Manager Must Forfeit $40M For Black Diamond Ponzi Role

Law360, San Francisco (April 23, 2012, 8:49 PM ET) -- A North Carolina federal judge on Monday issued a $40 million judgment against a former Black Diamond Capital Solutions LLC hedge fund manager for his role in a Ponzi scheme that defrauded investors through a nonexistent currency trading platform.

Bryan Coats pled guilty in October to charges of conspiracy to commit fraud and money laundering conspiracy. The $40 million judgment issued by U.S. District Judge Robert J. Conrad Jr. is equal to the estimated size of the scheme Coats was accused of participating in.

From October...
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