An employee of the firm, who was not identified, reportedly stole a relatively small amount of money that had been set aside for use in payment of the firms usual regulatory filings for clients, according to a source close to the company.
The companys control procedures allowed Clear Sky executives to uncover the employees five-fingered discount within a few days, confirmed another source. The stolen money was recovered, and the employee was fired, confirmed both sources. This is the first time in the companys history that a theft of this nature has taken place, noted one source.
"The funds have been returned and the matter has been resolved," said a PFPC spokesperson.
Founded in 1994, ClearSky manages over 250,000 state mutual fund permits for 150 companies, representing over $3 trillion in mutual fund assets.
