November 9, 2009
NEW YORK (AP) — The case of two former Bear Stearns hedge fund managers charged with lying to investors is moving into the final stages.
Deliberations were expected to begin Monday at the Brooklyn trial of Ralph Cioffi and Matthew Tannin. They've pleaded not guilty to conspiracy and fraud charges.
It was the first criminal case to hit Wall Street amid the housing market meltdown.
The eventual implosion of the defendants' hedge funds cost 300 investors about $1.6 billion.
The domino effect nearly led to the demise of Bear Stearns itself. The firm barely avoided bankruptcy in a rescue buyout by JPMorgan Chase & Co.