On June 10, Nicholas Lattanzio, the owner and manager of the hedge fund Black Diamond Capital Appreciation Fund L.P., was arrested for allegedly orchestrating an advance fee scheme that defrauded investors of millions.  According to the complaint, Lattanzio, through Black Diamond and related entities, collected $4 million in upfront fees from investors.  He promised to provide future loans and investment opportunities, but instead he allegedly used the fees for personal expenses.  Lattanzio has been charged in the District of New Jersey with three counts of wire fraud and two counts of securities fraud.  United States v. Lattanzio, 15-mj-7140 (D.N.J.).  DOJ Press Release