Portus Updates

Date: Monday, June 20, 2005

From Theglobeandmail.com: Boaz Manor, the embattled co-founder of Portus Alternative Asset Management Ltd., has allegedly misappropriated $3.1-million (U.S.) worth of investments from the hedge fund and used a large chunk of this money to pay his Israeli lawyer, according to a report filed yesterday by the company's court-appointed examiner.

In its sixth report on the Portus scandal, KPMG LLP claimed that Mr. Manor attempted to "obfuscate" the flow of funds at Portus by setting up a complex web of companies in various offshore tax havens, which are well-known for their secrecy. 

Portus didn`t invest $52.8m in customer funds
Bloomberg reports Portus Alternative Asset Management, a Canadian hedge fund whose co-founder is being investigated for fraud, didn't invest about $52.8 million that it received from customers and about $17.6 million is missing, KPMG LLP said in a court filing.

KPMG says Portus founder Boaz Manor should return $3.1M US, account for $17.6M
From Cbc.ca: The receiver in the Portus Alternative Asset Management fiasco is going to court in an attempt to force the hedge fund's co-founder to return $3.1 million US and to account for $17.6 million US in investor funds that have not been secured.

Portus, co-founded by 20-something Boaz Manor, collapsed in March amid investigations of its sales and compliance practices by securities regulators who had frozen its operations in February. Manor has refused to return from Israel to be examined by investigators, citing illness.