The one-time prominent Sydney banker linked to the collapse of an $833 million hedge fund in the United States had previously pitched another foreign exchange trading strategy to investors that projected annual returns of 30 per cent and claimed there was almost no risk of losing money.

A former business associate said Ashish “Hash” Patel, 53, who spent several years in Merrill Lynch’s Australian investment banking business in the early 2000s, had pitched the “Quant Spread System”, described as a “capital protected, long-short FX trading system with consistent monthly returns”.

Loading…