Former MIT Dean Gabriel Bitran Pleads Guilty to Running a $500 Million Scam - Connected to Madoff's Ponzi SchemeAugust 16, 2014 0 Comments
Massachusetts Institute of Technology professor and his son
have agreed to
plead guilty (DOJ) to running a $500 million
hedge-fund scam that was uncovered by investigators probing Bernard
Madoff’s Ponzi scheme.
Gabriel Bitran, who was a chair professor and associate dean at MIT’s Sloan School of Management (VisualCV), and his son, Marco, told investors that their money management firm GMB Capital Management LLC had a successful real world track record, when in fact they simply assembled back data that would show a spectacular track record.
The men, who raised more than $500 million from 2005 to 2011, meanwhile put money into “funds of funds,” (Blm) which rely on investments by other hedge funds, mostly Bernie Madoff’s firm and Madoff feeder funds, according to prosecutors.
The Bitrans’ funds suffered losses ...