Fugitive German Fund Manager, Sought in U.S., Caught in Italy

A fugitive German hedge fund manager was arrested in Italy March 8 at the request of the United States after being accused of orchestrating a penny stock manipulation scheme that caused $200 million in losses worldwide (United States v. Homm).

U.S. prosecutors said the same day that the defendant, Florian Wilhelm Jurgen Homm, was charged with four felony counts by the United States: conspiracy to commit wire fraud, wire fraud, conspiracy to commit securities fraud, and securities fraud. The government said he had been sought for five years.

According to prosecutors, Homm was the founder and chief investment ...