Hedge fund manager Philip A. Falcone and his firm, Harbinger Capital Partners, will pay more than $18 million and admit wrongdoing in a settlement the SEC announced Monday.
Mr. Falcone, founder of Harbinger, also agreed to be barred from the securities industry for at least five years.
On June 27, 2012, Securities and Exchange Commission staffers filed fraud charges against Mr. Falcone and Harbinger Capital claiming misappropriation of client assets, including $113 million to pay his personal taxes; market manipulation; and granting some clients preferential rights.
Last month, SEC commissioners rejected a staff-proposed $18 million settlement that would have barred Mr. Falcone from hedge fund activities for two years but did not require an admission of wrongdoing.
