Bear Stearns Prime Brokerage Exec Leaves

Ron Suber, a top Bear Stearns(BSC) executive and one of several employees implicated by securities regulators in the mutual fund trading scandal, is leaving his job.

Suber, who was responsible for overseeing Bear Stearns' prime brokerage hedge fund business, is taking a job with Spectrum Global Fund Administration, a hedge fund administration firm.

Suber, a senior managing director in Bear Stearns' San Francisco office, was one of nine current and former Bear Stearns employees to receive a so-called Wells notice from the Securities and Exchange Commission in conjunction with the mutual fund investigation. The SEC sends Wells notices to individuals and companies it is considering bringing an enforcement action against.

In March, Bear Stearns paid a $250 million penalty to the SEC and the New York Stock Exchange to settle allegations that it had served as full-service facilitator for abusive traders, in particular hedge fund customers of the firm's big prime brokerage and clearing operation.

When SEC officials announced the settlement, they said the investigation against the individuals, many of whom still work at Bear Stearns, is continuing. An SEC attorney could not be reached for comment on the status of the investigation.

Suber did not return a phone call. A Bear Stearns official in the firm's San Francisco office declined to comment.

Spectrum Global, meanwhile, posted a press release on its Web site announcing the hire. David Young, a principal with the Chicago-based firm, said Suber will formally join Spectrum Global in Chicago. He declined to comment on the pending SEC investigation.

Other top Bear Stearns managers who also received Wells notices from the SEC include Stephen Dantus, head of private client services; Vincent Dicks, Dantus' top deputy; and Peter Murphy, a senior managing director and one of the highest-ranking executives in Bear Stearn's big clearing and operations division.

Suber's departure from Bear Stearns was first reported by the NakedShorts blog.

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