Edward Strafaci
Year made public: 2002
Estimated Losses: $350 million
According to court documents, Strafaci, executive vice-president of New York-based Lipper Holdings, told investors in reports that their investments into two Lipper hedge funds were growing at up to 15% annually. In reality the funds were losing money. In 2004, Strafaci pleaded guilty in federal court to securities fraud and was sentenced to six years in prison.
