My comment: It seems that cooperation from citizenry was crucial to
hunt this suspected dangerous criminal. An unnamed peasant from the
village called police as soon as he suspected that he was an American
economist. "I heard him whispering to the waiter that he has
information about some stocks, then I suspected and I did my duty as a
good citizen", told that peasant to the reporter. She, the waiter,
told police that this suspected criminal offered her some CDOs and
tried to convince her to invest in stock markets against her will.

(my comment is just a joke, I ignore whether it is based on real facts
or not).

http://www.bloomberg.com/apps/news?pid=20601087&sid=assdtQhN0Czk&refer=home

Jan. 27 (Bloomberg) -- Arthur Nadel, the Florida hedge-fund adviser
who disappeared 13 days ago, was arrested and charged with defrauding
investors of tens of millions of dollars.

Nadel, 76, surrendered to the Federal Bureau of Investigation today in
Tampa, Florida, Monica McLean, an agency spokeswoman, said. U.S.
regulators last week accused him of defrauding clients while
overstating six funds’ investments by $300 million.

The fraud may have been uncovered because of the unrelated arrest on
Dec. 11 of fund manager Bernard Madoff for duping investors out of $50
billion, the FBI said in a criminal complaint.

After years of rebuffing requests from an unnamed partner for an
independent audit of his funds, Nadel agreed to one on Jan. 8, FBI
agent Kevin Riordan said in a criminal complaint. Nadel fled six days
later after telling his wife how to survive financially without him,
Riordan said.

“The avenues to money for you will likely be blocked soon,” Nadel
wrote to his wife in a note that employees found Jan. 15 in a
shredding machine, according to the complaint. “Withdraw as much cash
as you can,” he said, adding that he would send further instructions.

“Sell the Subaru if you need money,” the FBI quoted him as writing.

August Transfer

Beginning in August, Nadel transferred at least $1.25 million from two
funds to a secret bank account, prosecutors said. His funds’ total
assets are now less than $1 million, the Securities and Exchange
Commission said Jan. 21 in a civil fraud lawsuit.

Nadel told his partner that he graduated from New York University
School of Law and was later disbarred, according to the complaint. He
told investors that he had provided 20 percent returns from 1999 to
2007, it says.

The FBI cited five unnamed victims who lost money.

Two invested a combined $28.6 million in Nadel’s funds, the agency
said. Nadel told one of them, who sought to withdraw funds, that there
was more than $200 million in the victim’s account and the money would
be available by March, Riordan said in the complaint.

Nadel is to appear in court in Tampa later today. His lawyer, Todd
Foster, didn’t immediately return a call.

The SEC case is Securities and Exchange Commission v. Nadel, 09-
cv-00087, U.S. District Court, Middle District of Florida (Tampa). The
criminal case is U.S.A. v. Nadel, 09-mag-169, U.S. District Court,
Southern District of New York (Manhattan).
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