Former Sentinel Chief Sentenced To 14 Years for Role in $665 Million Fraud

Eric Bloom, Sentinel Management Group Inc.'s former chief executive officer, was sentenced to 14 years in prison for his role in a $665 million investor fraud (United States v. Bloom, N.D. Ill., No. 1:12-cr-00409, sentencing).

A Chicago federal jury in March convicted Bloom on charges he misled the cash management firm’s clients about how it was handling their assets, concealing from them that they’d been pledged to the Bank of York Mellon Corp. as collateral for a firm credit line worth hundreds of millions of dollars. Sentinel was using that credit to buy assets for an account maintained ...