STAMFORD -- A hedge fund manager and former UBS trader -- already the subject of a federal investigation involving an alleged $30 million fraud -- was arrested by FBI agents Friday at his Stamford home on mail fraud charges.

Francesco Rusciano, 27, of Strawberry Hill Avenue, is accused of raising money for two hedge funds and defrauding victims by materially overstating and misrepresenting his background and experience as well as overstating his success and historic performance, according to a statement from Nora Dannehy, acting U.S. attorney for Connecticut.

Rusciano, who appeared Friday in federal court in Bridgeport, was held pending a court hearing set for noon Monday. Rusciano operated the Ponta Negra Fund I, LLC and the Ponta Negra Offshore Fund I, Ltd.

By significantly misrepresenting his background and experience as a trader, Rusciano defrauded a New York resident whom he persuaded to invest $500,000, according to a federal affidavit filed by FBI Special Agent John McKenna. The affidavit refers to the investor only as "BW."


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http://directorblue.blogspot.com/2009/05/bidens-of-hedge-funds-hair-plugs-and.html

In 2006, an investment adviser they'd met named Anthony V. Lotito offered Hunter an opportunity to buy an ownership interest in the Paradigm family of hedge funds. It looked like a great deal.

Lotito and the Bidens formed a limited-liability company to purchase an interest in Paradigm. The company would be called LBB Holdings USA, LLC. Each man controlled a one-third interest in LBB.

Lotito advised the Bidens that the best man to create LBB from a legal perspective was John Fasciana, purported to be "the best in the business." What the Bidens didn't know about Fasciana was they he was a convicted felon awaiting sentencing for a massive fraud: a federal jury had earlier found that Fasciana helped others steal hundreds of thousands of dollars from IT outsourcer EDS by pinching checks sent to the company and then laundering the funds through Fasciana's attorney trust account.

But, at the time, the Bidens claimed to be unaware of the suspect activities swirling around Fasciana

http://directorblue.blogspot.com/2009/05/bidens-of-hedge-funds-hair-plugs-and.html  must read!

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