NEW YORK (HedgeWorld.com)–Michael L. Smirlock, former president and chief executive of hedge fund manager Laser Advisers Inc., Short Hills, N.J., is scheduled to surrender himself to the custody of the federal Bureau of Prisons Thursday, August 1, to begin serving his sentence of four years of incarceration.
Just last week the Securities and Exchange Commission announced the settlement of its civil action against Mr. Smirlock and Laser Advisers.
In its complaint in that civil action, the SEC alleged that from December 1997 to June 1998, Mr. Smirlock unlawfully schemed to inflate the value of the investment portfolios of Laser’s three hedge funds, in particular through his handling of options on interest-rate swaps.
In the civil settlement, Mr. Smirlock neither admits not denies any of the charges against him and accepts a permanent bar from any association with an investment adviser, as well as an injunction against violations of the Securities Exchange Act of 1934, the Investment Advisers Act of 1940 or regulations enacted pursuant to either.