Bitrans’ spokesperson releases statement on their behalf

After a story on Tuesday regarding MIT Sloan School of Management Professor Gabriel Bitran PhD ’75 and his son Marco Bitran ’97 paying $4.8 million to settle hedge fund fraud charges brought against them by the U.S. Securities and Exchange Commission (SEC), the Bitrans’ GMB Management spokesperson Scott Sunshine contacted The Tech saying he felt that the story did not adequately address the Bitrans’ perspective. As Sunshine pointed out, “this has been a particularly painful time for the Bitran family, and having their POV given airtime is both fair and appropriate.”

According to Sunshine, the Bitrans neither confirm nor deny the SEC’s report, and Sunshine gave the following statement:

The Bitrans invested the vast majority of their (and their family’s) net worth in the GMB funds, alongside other investors, and had great confidence in GMB’s quantitative models.

To be sure, 2008 was a difficult year for the markets and for the investment industry as a whole.  That aside, the majority of GMB’s funds and managed accounts either made money for investors, or significantly outperformed the S&P 500 ove their operating lifetime.

He also echoed statements, cited in the story, made by the Bitrans’ lawyers that the Bitrans “are pleased to have reached a settlement with the SEC … and to put this matter behind them.”

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