Concerns about the firm's condition begun in October when the CEO first stopped showing up at work. At the time, the company’s website read;
““Dear clients, Blackfield Capital is bankrupt. Kim Karapetyan has fled to the US. Look for him there!!!”
Funny as in may sound, there was a link on the page redirecting to a report on Forbes.ru where the news of the company's troubles was first broken.
Kim Karapetyan is known for his extravagant lifestyle. He flew the early-2000s boyband Blue into Russia for a company New Year's Eve performance in 2013 and paid $15,000 (£9,800) per month for a flat in New York's financial district, setting a record for rent per square foot in the area. He also instructed US employees of the fund to buy an Aston Martin Vanquish.
After a closer look at his career history, The Wall street Journal discovered fraudulent declarations haven claimed to have worked at Morgan Stanley as a portfolio manager and graduated with a master's degree from the London School of Economics. Both institutions have denied affiliation to him.
Amongst many proclaimations, the company claims on its website that:
“We form stability from chaos”.
This leaves us wondering whether they have a plan to resolve this chaotic situation.