Hedge fund thief nabbed in Greece

An ex-hedge fund president arrested in Greece was freed today pending an extradition hearing next week. Angelo Haligiannis, formerly the president of the Sterling Watters Hedge Fund of New York, was arrested yesterday on an international warrant at the Hersonissos resort on the island of Crete while he was vacationing with his wife and daughter, according to the New York Post. He is wanted in the U.S. where he was convicted of defrauding investors of at least $27 million by misrepresenting the fund's returns since 1996, according to an Associated Press report. He spent his illegal gains on Porsches and $10,000 monthly rent on a luxury apartment at the Paramount Towers on E. 39th in New York, according to a New York Post report. Mr. Haligiannis pleaded guilty in 2005 to criminal fraud charges in New York, but fled shortly before he was to be sentenced in January 2006. His arrest followed a tip from one of the defrauded investors, police told the Associated Press. Greek prosecutor Zacharias Kokkinakis agreed to his release pending a court session next week, when a panel of three judges will rule on the U.S. extradition request, made through Interpol.