Hedge Fund Priest Sued by SEC for Alleged Stock Manipulation

A Massachusetts priest who moonlights as a hedge fund manager was sued by federal regulators for allegedly making false statements about a biotech company to try to drive down its share price.

In an attempt to profit from his short position, Emmanuel Lemelson published false “research reports” about Ligand Pharmaceuticals Inc. on popular investing websites, including Seeking Alpha, according to a complaint filed Sept. 12 by the Securities and Exchange Commission.

The agency accused Lemelson and his firm, Lemelson Capital Management, of market manipulation. It’s seeking an unspecified fine and a return of illegal profits, according to the complaint.

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