Kyle Bass’s Disastrous Hong Kong Short Got Bannon-Linked Cash
- Hayman Capital manages unnamed hedge fund in recent SEC case
- Fund lost money that the regulator says was raised illegally
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A recent U.S. Securities and Exchange Commission case reveals how Kyle Bass’s bet against the Hong Kong dollar has fizzled: He’s lost big, ensnaring some investors who funded his short through what the regulator says was an illicit stock offering.
The details were laid out in a September SEC enforcement action that describes illegal financing of an ambitious startup that sought to expose corruption involving Chinese government officials. The startup -- GTV Media Group, with ties to self-professed billionaire Guo Wengui and ex-Donald Trump adviser Steve Bannon -- raised $339 million through an unregistered share sale last year, according to the SEC.