October 15, 2006

Stockbrokers Accused of Fraud

-- By Pushpa Sathish, Staff Writer

Minimizing the risks of hedge funds, fraud to the tune of $2 million – these are activities that have put two Philadelphia stockbrokers on the wrong side of the law. The U.S. Attorney’s Office in Philadelphia filed an indictment against Anthony P. Postiglione Jr. and William J. Lennon accusing them of 18 counts of mail frauds and one of securities fraud.

The two financial consultants, who had jointly launched the Fountainhead Fund LP five years ago, are being charged with providing investors with false and misleading account statements after the hedge fund lost money in the first quarter of its existence. The fund wound up operations after a month in business, and its investors ended up losing $1.98 million. Postiglione is also being charged with obstruction of justice for purposely falsifying a document in 2004.

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October 15, 2006 in Gossip & Scandal | Permalink




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