The U.S. Securities and Exchange Commission has charged Archegos Capital Management founder Sung Kook "Bill" Hwang and Chief Financial Officer Patrick Halligan with 11 criminal counts in connection to the multibillion-dollar implosion of their hedge fund.
What Happened: Hwang and Halligan were charged early Wednesday morning with 11 criminal counts encompassing racketeering conspiracy, market manipulation, wire fraud and securities fraud. Prosecutors stated Hwang and Halligan were responsible for fraudulently pumping up the Archegos portfolio from $1.5 billion to $35 billion within the span of one year, while the company’s market positions swelled to $160 billion as Hwang and Halligan conspired to hide its real size from the market.
