Today I Want to talk about the giant hedge fund Ponzi scheme that was just uncovered Now I'm not talking about Bernie maid off I'm not yet talking about Kellen Griffin We're talking about a hedge fan manager that now faces up to 20 years in prison for his actions. So stay tuned and let's make some money. And now I' straight in with the key information. So the Department of Justice has tweeted about the hedge fund manager that has just plad guilty to operating a multi-million dollar Ponzi scheme.

Now obviously the all important question is when K Griffin right now that's a question that I can't answer. But I do hope the Department of Justice are on the case, especially as the SEC has failed us so much. But the Department of Justice article talks about the Florida man that pled guilty today in the southern district of Ohio to using his hedge fund management company as part of a years long Ponzi scheme. It say according to court documents, Michael Williams 48 of Miami was the chief executive officer and investment manager of High Guard Capital and its Affiliated entities.

Williams convinced victims to invest over $3 million in one of his funds and used their money for undisclosed and unauthorized purposes including to repay investors from discontinued funds they previously managed back in 2021. This guy convinced One Singular woman to invest over a million doar with him. What he didn't disclose is that his fund was down over 90% on the year and he used her money to repay other investors. As a result, he's pled guilty to wire fraud and faces a maximum penalty of 20 years in prison.

It Also says here the FBI Washington field office was the ones investigating the case. So what instantly jumps out here to me is the night and day difference between the FBI and the Department of Justice and the SEC. Obviously, the SEC dishes out small, meaningless fins of say7 to 50 million, a tiny speed bump in their road to billions of dollars in profits. Whereas on the flip side, the FBI and the Department of Justice actually imprisoned people for up to 20 years, maybe even exceeding 20 years depending on the crime.

With the SEC a $7 million fine as a percentage of $16 billion in profits is a tiny fraction less than 1% But spending 20 20 years in prison is indeed not a tiny fraction of money. It's not even a tiny fraction of somebody's life. That is a giant, giant portion. Now we know the Department of Justice and the FBI is currently investigating or is still investigating a number of short sellers for illicit transactions.

Included in those investigations is Cito Securities I. Guess the real question is, is the Department of Justice actually performing and investigation? Maybe they are, but maybe they're not. If they are I Would like to see an announcement soon or soonish about their punishments and charges. Hopefully one individual or many individuals will be facing prison time.

The Department of Justice and the FBI have proved they can do it with this individual punishment. But can they do it again for bigger and bigger fishes? Even though this guy is a hedge fund manager, he is a fairly small fry with only a few million dollars in his hedge fund. I Guess the real question is will the Department of Justice and the FBI do the right thing and arrest Ken Griffin for running similar Ponzi schemes. You can currently get a guaranteed free share of Tesla or of Google and up to 15 free shares on top of that worth up to $2,000 each.

All you have to do is sign up to Mumu using the link in the description below and make that required qualifying temporary deposit. Signing up to Mumu is free and it's easy. It just requires that temporary deposit and it's a really great way to help support the Channel. Two People that are well aware the SEC isn't doing enough is Elon Musk and Mark Cuban who have just filed a joint Amicus brief at the Supreme Court calling for an overhaul of the SEC.

This is something I spoke about last week where Elon Musk himself said the SEC needed to be overhauled, but now Elon Musk is putting his money where his mouth is and so seemingly is Mark Cuban as well. It says Tesla's CEO Elon Musk has teamed up with American investor Mark Cuban The Challenge: SEC Together, they've submitted an amicus brief aiming to highlight the Sec's practice of conducting internal trials without inquiries and without a jury. Elon Musk argues the SEC have an unfair Advantage when it comes to proceedings and punishments or specifically investigations, saying the SEC itself is the sold fact finder and determines a respondent's liability and Punishment without the involvement of a jury. This is obviously unfair in some instances where they fine Elon Musk for zero wrongdoing, having to pay millions, if not hundreds of millions of dollars, but then issue tiny fines to those actual criminals to the tune of, say, $7 million.

As the SEC does its own investigations and makes decisions, without a jury, they can effectively decide anything they like or more specifically, they can decide anything they like to the tune of whoever's paying them the most, if any which day it turns out, Ken Griffin has paid the SEC the most money that week, Ken's likely to be let off with zero punishment. Gary Gensler has said time and time again, the SEC really can't investigate much these days because of their budget cuts and reduced funding. I Personally would love to see both Elon Musk and Mark Cubin actually donate or specifically fund the SEC so they can perform some actual investigations. That way, you may end up with more than just a $7 million fine.

You may end up with actual hedge fund Market making CEOs spending time in prison I Said earlier in the video about how the SEC has failed us a number of times, but I think this one really takes it to a new low. The SEC or the office of Municipal Securities was supposed to hold a recent Spotlight on transparency, but had to reschedule the day saying please stay tuned for updates from the office of Municipal Securities regarding the rescheduled conference date for this Spotlight on transparency But as you can see, the SEC is subtly giving us their real thoughts on transparency, putting transparency underwater. Does the SEC or Gary Gendler really care about improving Market transparency or are they just simply trying to perform a box ticking exercise? Are they actually slowly and steadily trying to fight back against these market makers and hedge funds? Or are they still being paid off? They're just performing box ticking exercise to keep up good PR Regardless of which, I Just found this article which I think is absolutely brilliant. It is an old article, but it's still just as relevant as ever.

The article is titled the 10 Biggest Hedge Fund Casualties I've read it Wall Street Bets's Short Squeezes Saying in this article, we discussed the 10 biggest hedge fund casualties of Redit Wall Street Bety Short Squeezes saying hedge funds have suffered billions of dollars in losses this year in a fierce stock market Showdown With retail investors on internet platforms like Reddit and Twitter over the last 6 months, some of the companies involved in this Saga include: GameStop AMC Context, Logical, Wish, and Clover Health Investments And according to some social media reports, hedge funds had suffered a total of12 billion in LA cles. And what is cool is that even back then, Goldman Sachs was saying the battle though still looks to be far from over saying according to Goldman Sachs the retail investor boom in equities is just the beginning. Number 10 on the list was Citan Capital. Apparently Andrew left from Citan Capital managed to close out of his short position in GameStop at a 100% loss.

Number nine on the list was Maverick Capital not Melvin Capital an entire different fund known as Maverick Capital It doesn't say specifically how much Lee anile of Maverick Capital actually lost, but I guess it's slightly more than Citan research. Supposedly just number eight on the list was Citadel Investments Group Maybe they were number eight back in 2021, but I think since then they've taken on a lot more of the liabilities and a lot more of the losses. Number seven on the list Candlestick Capital Management Again, it doesn't say how much they lost through me. Name stocks number six on the list, interestingly is 72.

Asset Management Now we know Steve K from 72 is in bed with Ken Griffin and stated that in one single month in January his entire fund lost 15% Again, you've got to think of how crazy that actually is usually These funds have hundreds of positions, only holding a few percentage points in each position. Their short on GameStop and AMC must have been absolutely huge and likely still is. It was likely very large in terms of dollar amounts and very heavily overleveraged too. Number Five, you got D1 Capital Partners who lost 20% of their entire hedge fund during January of 2021 Number four on the list Mal Paline Capital Lost 33% of their entire fund after a failed attempt to short sell GameStop and likely Amc2 number three Light Street Capital Losing 33 or over 33% of their fund with assets, it's falling from 3 billion down to just 1.8 billion.

Number Two, obviously Melvin Capital Who lost the majority of their fund and has since gone bankrupt and has since closing down the fund White Square Capital Also, in 2021 ended up going bankrupt as a result of shorting GameStop What? I Actually find really interesting about this article or the Articles published back then is that apparently the majority of short sellers lost money short in GameStop. But we know that for Robin Hood's Margin Call over 75% of that Margin Call was for AMC, not for GameStop I Wonder if these funds actually lost more shorting AMC than just GameStop on its own? or if there's tons of other funds that also went bankrupt as a result of AMC but it was just never publicized. It wouldn't surprise me if the latter is the case, as we know the mainstream media is controlled by these hedge funds and by these shorts who obviously wouldn't want more information about AMC bankrupting shorts going public. But guys, be sure to let me know what you think down in the comments below.

And as always, guys, be sure to ding that notification Bell because that way you'll be alerted when I upload a new video. Cheers!.