Bill Hwang, founder of collapsed family office Archegos Capital Management, has been arrested by US authorities, who charged the fund’s top executives with manipulating the prices of securities in their portfolios.
The indictment, unsealed on Wednesday, accuses Hwang and former chief financial officer Patrick Halligan of using Archegos as an “instrument of market manipulation and fraud”, which had “far-reaching consequences for other participants in the United States securities markets”.
The case, brought by federal prosecutors in Manhattan, marks the first criminal charges against Hwang, one of the so-called Tiger Cub veterans of Julian Robertson’s Tiger Management fund whose little-known fund rattled some of Wall Street’s biggest financial institutions when it imploded a year ago.