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Harvard Business School grad targeted fellow alumni in Ponzi scheme, New York attorney general says
A Harvard Business School graduate is accused of targeting his own, deceiving fellow alumni into investing in a Ponzi scheme.
New York State Attorney General Letitia James, in a court order filed this week, accuses HBS alum, Vladimir Artamonov, of swindling investors out of $3 million. James urged any investors who lost funds to file a complaint.
James’ office alleges that Artamonov used his HBS network to court investors in a Ponzi scheme that defrauded at least 29 people, many of whom were connected to HBS, of at least $2.9 million in funds.
A Ponzi scheme is a type of investment fraud involving an organizer who promises risk-free, high returns and pays investors with new backers’ funds, not investment profits. These kinds of schemes don’t generate returns but depend on a constant stream of new money to survive.
The New York AG has secured a court order that effectively shuts down Artamonov’s alleged scheme. Her office said it became aware of the activity after being alerted of the death of an early investor who took his own life after discovering he had lost $100,000 in funds.
“Even after the tragedy, Artamonov continued to solicit new investors and lied to them regarding the fund’s strategy and performance,” James’ office said.
Anyone can be duped
The case highlights that even those with prestigious backgrounds in business or finance can be duped into making unsavory investment decisions, particularly when an opportunity is presented by a trusted contact.
“Even sophisticated investors can be conned by fraudsters, especially when personal relationships and networks are used to build a false sense of trust,” Attorney General James said in a statement Thursday. “Vladimir Artamonov used his alumnus status from Harvard Business School to prey on his classmates and others while seeming legitimate and dependable. Instead, he has been scamming people out of their investments, with horrific consequences. Today, we have put a stop to this scheme and encourage anyone who has been defrauded to come forward to my office.”
Artamonov graduated from HBS in 2003 with a master’s degree in business administration and later moved to New York where he worked as a securities professional. He called his investment fund “Project Information Arbitrage” or the “Artamonov Fund.”
In courting potential investors, he claimed to have advance knowledge of Berkshire Hathaway’s investment decisions by way of public state insurance filings. He likened his insights to “having a private time machine” or “getting tomorrow’s newspaper today,” projecting fund returns of 500% to 1,000%, according to the AG.
“In reality, Artamonov used his investors’ money to buy short-term options that expired within days of purchase and appeared to have no relation to Berkshire Hathaway or its investment activities,” the AG’s office said, adding that Artamonov funded a cushy lifestyle for himself using investors’ money.
James’ court order requires Artamonov to testify and produce books and records to guide an ongoing investigation.
Harvard Business school declined to comment on the matter when reached by CBS MoneyWatch.
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Oklahoma attorney general says state schools superintendent cannot mandate students watch prayer video
The Oklahoma attorney general’s office responded after the state’s education superintendent sent an email this week to public school administrators requiring them to show students his video announcement of a new Department of Religious Freedom and Patriotism. In the video, he prays for President-elect Trump.
Ryan Walters, a Republican, announced the new office on Wednesday and on Thursday sent the email to school superintendents statewide. The new department will be within the state’s Department of Education. Walters said it would “oversee the investigation of abuses to individual religious freedom or displays of patriotism.”
“In one of the first steps of the newly created department, we are requiring all of Oklahoma schools to play the attached video to all kids that are enrolled,” according to the email. Districts were also told to send the video to all parents of students.
In the video, Walters says religious liberty has been attacked and patriotism mocked “by woke teachers unions,” then prays for the leaders of the United States after saying students do not have to join in the prayer.
Sue Ogrocki / AP
“In particular, I pray for President Donald Trump and his team as they continue to bring about change to the country,” Walters said.
The office of state Attorney General Gentner Drummond issued a statement Friday saying Walters has no authority under state law to issue such a mandate.
“Not only is this edict unenforceable, it is contrary to parents’ rights, local control and individual free-exercise rights,” said the attorney general’s office spokesperson Phil Bacharach.
Multiple school districts have also said they had no plans to show students the video.
Walters, a former public school teacher elected in 2022, ran on a platform of fighting “woke ideology,” banning books from school libraries and getting rid of “radical leftists” who he claims are indoctrinating children in classrooms. He already faces two lawsuits over his June mandate that schools incorporate the Bible into lesson plans for students in grades 5 through 12. Several school districts have previously stated that they will disregard the mandate.
One of the lawsuits also notes that the initial request for proposal released by the State Department of Education to purchase the Bibles appears to have been tailored to match Bibles endorsed by now President-elect Donald Trump that sell for $59.99 each.
Earlier this week, Walters announced he had purchased more than 500 Bibles to be used in Advanced Placement government classes. The education department that the 500 Bibles are “God Bless the USA Bibles” and were ordered Thursday for about $25,000. They will arrive “in the coming weeks,” the department said.
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Kamala Harris raised more than $1 billion for her campaign. She’s still sending persistent appeals to donors after defeat.
Kamala Harris and the Democratic Party’s prodigious fundraising operation raised more than $1 billion in her loss to Donald Trump, but the vice president is still pushing donors for more money after the election.
Democrats are sending persistent appeals to Harris supporters without expressly asking them to cover any potential debts, enticing would-be donors instead with other matters: the Republican president-elect’s picks for his upcoming administration and a handful of pending congressional contests where ballots are still being tallied.
“The Harris campaign certainly spent more than they raised and is now busy trying to fundraise,” said Adrian Hemond, a Democratic strategist from Michigan. He said he had been asked by the campaign after its loss to Trump to help with fundraising.
The party is flooding Harris’ lucrative email donor list with near-daily appeals aimed at small-dollar donors — those whose contributions are measured in the hundreds of dollars or less. But Hemond said the postelection effort also includes individual calls to larger donors.
One person familiar with the effort and the Democratic National Committee’s finances said the Harris campaign’s expected shortfall is a relatively small sum compared to the breadth of the campaign, which reported having $119 million cash on hand in mid-October before the Nov. 5 election. That person was not authorized to publicly discuss the campaign’s finances and spoke on condition of anonymity.
But the scramble now underscores the expense involved in a losing effort and the immediate challenges facing Democrats as they try to maintain a baseline political operation to counter the Trump administration and prepare for the 2026 midterm elections. It also calls into question how Democrats used their resources, including hosting events with musicians and other celebrities as well as running ads in a variety of nontraditional spaces such as Las Vegas’ domed Sphere.
Patrick Stauffer, chief financial officer for the Harris campaign, said in a statement that “there were no outstanding debts or bills overdue” on Election Day and there “will be no debt” listed for either the campaign or the DNC on their next financial disclosures, which are due to the Federal Election Commission in December.
The person familiar with the campaign and DNC’s finances said it was impossible to know just where Harris’ balance sheet stands currently. The campaign still is getting invoices from vendors for events and other services from near the end of the race. The campaign also has outstanding receipts; for example, from media organizations that must pay for their employees’ spots on Air Force Two as it traveled for the vice president’s campaign activities.
Within hours of Trump picking Florida Republican Matt Gaetz for attorney general on Wednesday, Harris’ supporters got an appeal for more money for “the Harris Fight Fund,” citing the emerging Trump team and its agenda.
Gaetz, who resigned his House seat after the announcement, “will weaponize the Justice Department to protect themselves,” the email said. It said Democrats “must stop them from executing Trump’s plans for revenge and retribution” and noted that “even his Republican allies are shocked by this” Cabinet choice.
Another appeal followed Friday in Harris’ name.
“The light of America’s promise will burn bright as long as we keep fighting,” the email said, adding that “there are still a number of critical races across the country that are either too close to call or with the margin of recounts or certain legal challenges.”
The emails do not mention Harris’ campaign or its finances.
The “Harris Fight Fund” is a postelection label for the “Harris Victory Fund,” which is the joint fundraising operation of Harris’ campaign, the DNC and state Democratic parties. Despite the language in the recent appeals, most rank-and-file donors’ contributions would be routed to the national party, unless a donor took the time to contact DNC directly and have the money go directly to Harris or a state party.
The fine print at the bottom of the solicitation explains that the first $41,300 from a person and first $15,000 from a political action committee would be allocated to the DNC. The next $3,300 from a person or $5,000 from a PAC would go to the Harris for President “Recount Account.” Anything beyond that threshold, up to maximum contribution limits that can reach into the hundreds of thousands of dollars, would be spread across state parties.
Officials at the DNC, which is set to undergo a leadership change early next year, indicated the party has no plans to cover any shortfall for Harris but could not explicitly rule out the party shifting any money to the campaign.
