Soros Fund Fined $2.2 Million by Hungarian Regulator (Update1)

March 27 (Bloomberg) — Billionaire investor George Soros’s Soros Fund Management LLC was fined 489 million forint ($2.2 million) for attempting to manipulate the share price of OTP Bank Nyrt., Hungary’s largest bank, the country’s financial regulator said.

The Soros fund attempted on Oct. 9 to “send out false or misleading signals about a security’s supply and demand or its share price” and short sold OTP shares, the regulator, known as PSZAF, said in a statement late yesterday. The short selling caused the shares to drop 14 percent in the final 30 minutes of trade, the regulator said.

Short-sellers sell borrowed securities, hoping to profit by repurchasing them later at a lower price and then returning them to the owner. Budapest-based OTP is Hungary’s largest lender.

The plunge in OTP shares was part of a “significant and strong attack” against Hungarian money and capital markets, Prime Minister Ferenc Gyurcsany said on Oct. 10. The same month, the central bank raised the benchmark interest rate to the European Union’s highest to defend the forint and the country secured an International Monetary Fund-led loan to avert a default as investors sold local assets during the credit crunch.

Soros, chairman and founder of New York-based Soros Fund Management, said in a statement to the MTI news service he was “sincerely sorry” his company made the trade. The Soros fund has launched an internal investigation, is cooperating with Hungarian regulators, and will take the “necessary measures” based on the conclusion of the probe, he added.

“Even if the company’s employee didn’t breach the relevant Hungarian regulation, I am especially pained by what happened because of my close personal relations with Hungary,” Hungarian-born Soros said.

OTP shares have lost 52 percent of their value since Oct. 8, compared with a 28 percent drop in the benchmark BUX index. The shares traded at 2,173 forint at 9:50 a.m., from 2,165 forint late yesterday.

To contact the reporter on this story: Zoltan Simon in Budapest at zsimon@bloomberg.net

Last Updated: March 27, 2009 05:56 EDT

New Website Exposes George Soros’ War Against Poor

New Website Exposes George Soros' War Against Poor

SorosWatch.com reveals underhanded activities of infamous billionaire

 

BURKE, Va., April 16 /PRNewswire-USNewswire/ — Today, Citizen Outreach launched a new website, exposing the activities of billionaire George Soros that we believe undermine the global economy and cripple the livelihood of impoverished communities in the developing world. The website serves to educate the public about how Soros hurts the very people he claims to help by employing his global philanthropic network as a facade to deflect his dubious, non-transparent trading schemes that bankrupt countries, capital markets, and private sector companies.

SorosWatch.com will document and monitor Soros’ activities in developing countries, and unveil the billionaire’s funding of NGOs in the name of social justice, while simultaneously increasing the plight of the poor.

 

“Soros’ involvement in the developing world is merely a smokescreen to detract from his ultimate goal of amassing wealth off the backs of the poor,” explains Elizabeth Crum, Project Director for Soros Watch.

 

Just last month, Soros released statements advocating financial aid for developing nations to distract the press and public from his attacks on Hungary’s largest bank, OTP, that sabotaged the country’s economy(1). “This sleight of hand is only one example of the many times he hid behind a disingenuous, pro-development cover to mask his shady dealings.”

 

Fortunately, SorosWatch.com will enable the public to see the real George Soros who risks the economic future of entire countries to fuel his own financial gains. With insight into Soros’ true agenda, national governments can now take a more critical eye to his advice, such as his self-serving calls to shun foreign investors.

 

SorosWatch.com calls George Soros’ bluff. And with the veneer stripped away, Soros can finally be held accountable for his elaborate and non-transparent schemes to keep poor countries poor by demonizing foreign investment and manipulating their financial reserves.”

 

To schedule an interview with Elizabeth Crum or to learn more about SorosWatch.com, please contact Chuck Muth at (202) 558-7162 or chuck@citizenoutreach.com

 

(1)Simon, Zoltan. “Soros Fund Fined $2.2 Million by Hungarian Regulator.” Bloomberg. 27 March 2009. http://www.bloomberg.com/apps/news?pid=20601085&sid=allAm0oQIOlI&refer=europe

Website: http://www.citizenoutreach.com/
Website: http://www.soroswatch.com//