A hedge fund manager who took investor money and spent it on personal luxuries including a teddy bear collection pleaded guilty to fraud.
Paul Greenwood, 62, a principal with broker-dealer WG Trading and hedge fund firm Westridge Capital Management, pleaded guilty in federal court in Manhattan Wednesday to taking about $554 million from investors.
Greenwood could face up to 85 years in prison, but he is cooperating with the government against his partner, Stephen Walsh, 65, who has also been charged with fraud, in hopes of a more lenient sentence.
Greenwood and Walsh used the money to fund a lavish lifestyle, including multi-million dollar homes, a horse farm and the Steiff teddy bears that Greenwood collected, according to court documents.
The two men also had a minority stake in the New York Islanders, a professional hockey team.
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