http://www.bloomberg.com/apps/news?pid=20601087&sid=a3uKf5P1lFmg&refer=home
Details seem to be pretty murky surrounding this, but people are saying that this guy managed to make $50 BILLION evaporate via some sort of Hedge Fund turned Ponzi scheme. If I understand this correctly, this can't bode well for the "unregulated" parts of the money management industry (Hedge Funds, Prop Trading Desks, etc).
On another note, they need to seriously jack up the penalties for these douchebags that violate their fiduciary duties.