It appears that Amerindo Investment Advisors founder Alberto Vilar may have violated the terms of his recent bail agreement, which was reached after the onetime mutual fund superstar spent three weeks in jail on fraud charges, according to a July 3 report from the New York Post.
Vilar is accused of stealing $5 million from a client, Lily Cates, the mother of actress Phoebe Cates. The elder Cates' money was intended for a new investment initiative separate from Vilar's formerly high-flying Amerindo Technology fund. But U.S. attorneys allege that Vilar instead used the money to fulfill charitable pledges and other personal expenses. Vilar's partner, Gary Tanaka, was also arrested and is free on bail.