Founder Wired Wife $11M Before Sentinel Bust |
Date: Wednesday, September 19, 2007
Author: Chicago Tribune
Sentinel Management Group founder Philip Bloom wired $11.3 million to his wife a month before the company froze client money, according to The Chicago Tribune.
The newspaper said Bloom made the transfer to his wife, Sybil, on July 18. The newspaper went on to report that Bloom got an $80,000 bonus in January.
His son, Eric Bloom, who served as chief executive officer, was paid a $50,000 bonus in June.
In August, Sentinel Management, an Illinois cash management firm tied to the hedge fund industry, filed for bankruptcy. The case is now undergoing a review in a Chicago bankruptcy court.
In addition to the wire transfer and bonuses, the review has also showed that Sentinel Management had about $2 billion before it filed for bankruptcy.
A regulatory probe has said that approximately $500 million is unaccounted for out of the roughly $1.5 billion the company managed.
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