Archegos Founder Loses Bid to Toss Billion-Dollar Fraud Charges

The founder of Archegos Capital Management lost his bid to dismiss an 11-count indictment over an alleged conspiracy to manipulate the market for seven publicly-traded securities.

Unless prosecutorial misconduct “substantially influenced the grand jury’s decision to indict, or if there is grave doubt that the decision to indict was free from the substantial influence of such violations,” it can’t be the basis for dismissal, the federal court in Manhattan said.

According to Sung Kook Hwang, his lawyers were advised that he was a “subject” of the investigation, leaving open “the possibility that he would not be charged.”

“The description was ...