...and they ain't squeeky clean, either!
Here's a link to the story, followed by a snippet:
HBK in hot water
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Securities
regulators are turning up the pressure on Dallas-based HBK Investments in an
ongoing investigation of abusive trading by hedge funds in the market for
private placements.
The Securities and Exchange Commission is looking into a series of
short sales made by the $7 billion hedge fund in the days before HBK invested in
a $58 million private sale of stock by a company called Plug Power (PLUG
- commentary
- Cramer's
Take), say people familiar with the inquiry.
In the November 2003 deal, HBK was one of eight hedge funds that paid cash to
acquire millions of shares of the Latham, N.Y., fuel-cell maker at a 14%
discount to the then-market price of $5.79 a share.
The Plug Power transaction is the second private placement involving HBK that
securities regulators are looking into. TheStreet.com previously
reported that the SEC is reviewing another 2003 transaction in which
PFSWeb (PFSW
- commentary
- Cramer's
Take), a Plano, Texas, outsourcing firm, raised $3.5 million from investors,
including HBK.
HBK, a multistrategy money manager with offices around the world, is one of
the largest hedge funds to draw scrutiny in the two-year-old investigation into
manipulative trading in the $20 billion-a-year market for PIPEs, or private
investments in public equity.
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