basis at an adverse rate of tax. •Reliance on Fund Manager; Lack of Transparency - A Hedge Funds manager or adviser has total trading authority over the Hedge Fund. There is often a lack of transparency as to a Hedge Fund's uncle-rig investments Because of this lack of transparency, an investor may be unable to

rk on the inventory when we closed out the position. 240. In fact, even by the Company's own estimations regarding the writedowns associated with the Hedge Fund, this statement was false and misleading. The 2008 OIG Report states that the Company's internal documents reflect that it ultimately took a $500 mi

hat it had been consistently overvaluing its assets. 718. In fact, even by the Company's own estimations regarding the write downs associated with the Hedge Fund, the numbers revealed to investors in September 2007 were misleading. The 2008 OIG Report states that the Company's internal documents reflect that