The co-founder and chief investment officer of a prominent London hedge fund was charged on Thursday with fraudulently manipulating the U.S. dollar-South African rand exchange rate in order to trigger a $20 million payment, U.S. prosecutors said.
Phillips was arrested in Spain this week at the United States’ request, and would be extradited to face the charges. Prosecutors said Glen Point had in October 2017 bought a “one touch” contract from an unnamed New York bank that provided for the $20 million payment if the dollar-rate rate fell below 12.50, and which expired on Jan. 2, 2018.