Posts Tagged ‘high flying’

Q: Where do fund managers go when the game is up?

A:Home of course.

Q: What if it is Homm?

A: Try him in Florence.

Florence is where great masters are seen. Da Vinci’s Annunciation and Botticelli’s Birth of Venus are ageless in terms of their power to elevate ordinary mortals. There are those who wish to be part of a world they often miss out in their everyday boring lives. So they scrimp and save enough to make a pilgrimage to see the masters in real. It draws millions of admirers from all over the world each year. For those who wish to see excellence of human art, Uffizi Gallery is the place. It is where art lovers are transported to a world of beauty. Not so for Florian Homm, a fund manager. He thought he was looking at a da Vinci. Whereas the carabinieri smelt a rat. They were right. He was a fugitive. It is not clear if his stuffed shirt or his smelly underwear stuffed with the loot gave him away.

Florian Homm, 53, the German fugitive hedge fund manager more than five years ago fled the Spanish island of Mallorca with $500,000 hidden in his underwear and luggage. Thus ended the rake’s progress. Remember the series of paintings by Hogarth? Crime and irresponsible spending never came to a good end then and now also they come to a bad end.

Now for some background news:

The founder and former chief investment officer of Absolute Capital Management Holdings Ltd. is accused of “cross trading” billions of shares of penny stocks between the company’s funds to boost the value of the otherwise illiquid securities.

The trades, through a Los Angeles-based broker-dealer that Homm co-owned, generated fees for Homm and Absolute Capital and also inflated the price of Absolute Capital’s shares, U.S. prosecutors said. Homm “dumped” his shares and resigned from Absolute Capital on Sept. 18, 2007, “in the middle of the night,” according to the U.S.

Homm and his co-conspirators made more than $53 million from the scheme, prosecutors said. Adam Kravitz, a Miami lawyer who represents Homm in a lawsuit brought by the U.S. Securities and Exchange Commission, declined to comment on the criminal charges.


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Political sleaze is where man’s basic right to information has to come through lawmakers. Here as we have seen recently, political parties hobnob with media moghuls who provide news by raking in the muck by means whether foul or insensitive. Then there are those who seem naked without their spin doctors: the Tony Blair’s labor government especially during the war in Iraq showed the sleaze in newsmaking .
Capitalist sleaze is where mass media is sponsored by mega corporates. Naturally news making is stretched about their own special interests. Thus dodgy data and clinical reports come to help big pharm. companies and their dirty thumbprints cloud the value of drugs that reach the consumer. Their interference affects in vital areas of research and treatment.

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