Sarasota investors out $350-million; fund manager has vanished

The Sarasota Herald-Tribune is reporting that investors in a Sarasota-based hedge fund are likely out $350-million and the manager of the fund is missing. "Fund principal Arthur G. Nadel, a prominent player in Sarasota's jewish social and philanthropic circles, disappeared this week. His wife, Peg, filed a missing person report with law enforcement after finding a suicide note."  7

His Wife Peggy

She fears he may have committed suicide.

Active In Jewish Charities

The Nadels were known for their civic activities, serving on boards and donating money. They donated heavily to Jewish Family & Children’s Services and Girls Inc. all received cash gifts and pledges from the couple in recent years. 

Sarasota's Jewish Society

“We’re very fortunate in that way,” said Rose Chapman, president of Jewish Family & Children’s Services. Moody was co-chair of the organization’s capital campaign.

“We’ve received gifts from them over the years, but they were all cash,” said Stephanie Faltz, Girls Inc.’s executive director.   The Nadels were top notch, and this makes me very, very sad.”

The Corporation

They operated out of a rented storefront in Sarasota. 8

The Golden Touch

Like many of their kind they saw themselves as titans of society. No longer were they back alley Krakow pickpockets and swindlers. The Nadels also own the Venice Jet Center.  7

Local Psychiatrist Lost Everything

“I feel abused. I feel beaten. I don’t know who to believe,” said Dr. Brad Lerner, who expects to lose nearly $730,000 in an IRA fund with Nadel and Moody. 6

The Money Is In Israel

Law enforcement officials say the missing money may have been moved overseas.  7

Nadal's Partner Is Neil Moody

In a letter to investors, Fund principal Neil V. Moody stated that the funds "may have virtually no remaining value," and that no one else at downtown Sarasota's Scoop Management realized the funds were empty.

Nadel's Accountant Is Stunned

Michael Zucker, Scoop's internal accountant, said he was "blindsided" by the turn of events. "We're trying to trace everything backwards," Zucker said. "We had no idea this was happening, that money was disappearing. We saw statements and assumed they were accurate."  5

Linked To Some Charitable Organization

The two principals running the hedge fund have ties to charitable fund. 7

The So Called Philanthropists

Nadel gave $1.1 million to YMCA, but the check stayed at his firm. His donations to Habitat for Humanity had a catch - his company had to build the housing. So he billed charities, and federal agencies, for millions and the housing is incomplete? 8