On Wednesday, Jason Konior pleaded guilty of stealing US$2.9 million. The money was said to be taken from investors as part of the 2011-2012 Ponzi scheme.

Konior was a 39 year old, former fund manager in New York. He defrauded clients by committing to give matching funds about nine times the amount of their investment in Absolute, his very own fund. The information came from the US Attorney's office in Manhattan.

The prosecutors said that Konior utilized the money he gathered to pay his expenditures. He also used it to pay for the redemption requests from previous investors.

The emails, phone conversations and text messages from Konior helped the case. It was found that he pretended to make a brokerage accounts for hedge fund capitalists, the prosecutors added.

Konior pleaded guilty in the federal court of Manhattan. He was charged with one count of wire fraud. This would lock him in the prison for 20 years. On November 8, he would be sentenced before US District Judge, Alvin Hellerstein.

Douglas Jensen, Konior's lawyer, refused to give a statement about the matter.