Compliancex

An accused hedge fund fraudster’s mother is showing support, by claiming her son is not to blame for defrauding investors out of over $2.3 million, its his bipolar’s fault.

Anthony Klatch, along with his partner Timothy Sullivan, are accused of lying to investors in their TASK Capital Partners. The pair allegedly lied about how long the company had been in business, they told investors the fund had been in business for 12 years when in reality it was only opened in 2009.  According to the indictment, they also filled their prospectuses with other “material misrepresentations and material misleading omissions.”

Klatch’s mother, Charmaine Maynard, told the Wilkes-Barre (Pa.) Times Leader that Klatch suffered from bipolar disorder, which runs in his family, and he the disease is responsible for his behavior, not him.

Maynard, said she first noticed the symptoms three years ago and tried to get her son to seek help but he refused. At Klatch’s detention hearing last week, she testified to her diagnosis and said that he has finally acknowledged his problem.

Click link to view full article at FIN alternatives

Janelle Howell is the Editor and a contributing writer for CompliancEX and a freelance writer based in New York.