Israel Englander, owner of the $5 billion
Regulators accuse Englander of not properly supervising traders, who allegedly market timed and late traded $1 billion worth of mutual funds between 2000 and 2003. "Millennium is in trouble for creating entities, opening accounts [and] buying variable annuities for the sole purpose of deceiving mutual funds," a source told Fortune. However, Millennium spokesman, Thomas Daly said no fraud has been committed.
The accusations against Millennium come two years after one of the company's traders, Steven B. Markovitz, pleaded guilty to criminal charges of securities fraud. Markovitz began late trading mutual funds in 2000, earning $40 million in profits, according to the criminal complaint against him.
The staff of Money Management Executive ("MME") has prepared these capsule summaries based on reports published by the news sources to which they are attributed. Those news sources are not associated with MME, and have not prepared, sponsored, endorsed, or approved these summaries.
