Millennium Partners Accepts $180M Market Timing Fine

December 1, 2005 ( - Hedge fund group Millennium Partners has agreed to a $180 million settlement with regulators over charges it engaged in market timing.

The US Securities and Exchange Commission alleged in  a Web statement that from 1999 to 2003, the hedge fund “generated tens of millions of dollars in profits for Millennium by engaging in deceptive market timing.” The ongoing state/federal mutual fund industry probe has focused on market timing, late trading and certain sales practices.

The SEC said it charged Millennium Partners, two related entities and the hedge fund group’s founder, Israel Englander, as well as executives Terence Feeney, Fred Stone, and Kovan Pillai in a settled administrative proceeding.

“We are pleased to have reached a comprehensive resolution of the investigation regarding mutual fund trading in the years prior to 2004,” Millennium said in a statement, according to Reuters.