A hedge fund boss who is being sued by his biological mother over unpaid debts lives a wealthy life in Miami and pays high prices even as his employees flee and clients demand his cash back. The Post has learned that he has been on a number of vacations.
In a letter to investors, Jason Ader, CEO of Spring Owl Asset Management, an activist fund that has helped bring down CEOs such as Yahoo's Marissa Mayer in the past few years, wrote: admitted that it was facing “difficult times” as its main fund went into “liquidation”. Fund assets. ”
Adar cited 26 Capital Acquisition Corp., which unsuccessfully tried to buy the Philippines' largest casino for $2.6 billion, as the company's “key investment.” GameCo was denied a casino license by Nevada regulators.
“Both investments were structured as loans, and the circumstances surrounding each contributed to the complexity of the downsizing,” Adar said in an Oct. 15 letter obtained by the Post. “We anticipate that there is a high possibility that a write-down will occur.”
It comes after the 56-year-old property man (who has been an occasional guest on CNBC in the past) was sued by his 81-year-old mother in August for defaulting on a $13 million mortgage she took out in 2016. It was about. My late father's townhouse on New York's Upper East Side. State court filings show.
Despite the turmoil, Spring Owl's CEO was spotted partying at Miami Beach's swanky Faena Hotel last month, according to two people briefed on the situation. It is said that it has been done.
The newspaper also obtained posts from Adele's now-private Instagram account showing him and his girlfriend Hana on a trip to France this summer. Pictures from the holiday show the lovey-dovey couple posing at the members-only Monte Carlo Country Club on the outskirts of Nice and at the Olympic beach volleyball tournament at the Eiffel Tower in Paris.
A week later, they were found holed up in a cabin at the Rosewood Baha Mar Hotel in Nassau, Bahamas, according to social media posts. Other trips he has taken in the past two years include vacations in Japan, Germany, the Hamptons, and a ski vacation in Colorado.
A source close to the company said, “Jason has always lived his life that way.''
The latest luxury trip took place a year later court ruling He slapped Ader on the wrist for failing to pay agreed-upon child support to his second wife, Julie, and their four children.
Adar owns a $6 million Miami apartment at 1000 Biscayne Blvd. — A glass and steel residential tower boasting 84 private residences and a spa, fitness center and rooftop helipad. It's on the same block as British soccer superstar David Beckham's $20 million pad.
His company's Florida address is listed on Brickell Street, an upscale residential area in the city's financial district. Despite the fact that SpringOwl is not registered with U.S. regulators, according to Filings with the Securities and Exchange Commission.
The company is currently listed as a separate corporation in the tax haven state of Delaware.
In a statement released through her lawyer, Adder said “any suggestion” that Spring Owl was missing was “false.”
“Contrary to recent claims, I am not liquidating assets or winding down operations,” he said.
“While we have responsibly managed the exit of two specific legacy investments, this is a normal part of our investment cycle and is not reflective of our broader business. We are aggressively expanding our business and pursuing new opportunities in line with our growth strategy.”
Spring Owl investors scoffed at this. One frustrated client lashed out at Mr. Adar in a leaked email obtained by the Post. “A special place in hell is reserved for liars and cheaters. Your actions are beyond despicable.
“Has anyone who invested in you gotten their money back?'' Supporters are furious, asking why Mr. Adar's company still doesn't provide a K1 form that allows those who were burned to seek tax relief from the IRS. He demanded to know if he had not submitted it.
“I'm not confident I'll get my money back. What's the net value after all the lawyers are paid?” another investor lamented to the Post, in passing referring to Adar's legal troubles. Ta. “This is a bull.”
In its last public report published in September 2021, the company: Assets $80 million And only last year, he boasted that he had raised more than $1 billion in funding. Since its establishment in 2013.
The document was co-signed by Mr. Adder's business partner, Barry Koenig, but his name does not appear in the latest letter. In an interview with the Post, Koenig declined to say whether he had resigned.
The company's chief financial officer, John Lewis, left the company last June, and Ader co-founder Andrew Wallach also left the company in December, according to his LinkedIn profile. Neither person responded to multiple requests for comment from The Post.
In a letter to clients in mid-October, Mr. Adar criticized a Delaware judge who refused to order him to close the deal with the Philippines, leaving his company facing huge losses. Ta.
“Due to ongoing legal proceedings, the timing and release of these funds remains uncertain,” he said in the letter.
Delaware Chancellor Court Judge Travis Laster ruled last September that the deal could not proceed after seeing evidence of double trading by Mr. Adder and one of his advisers. A judge ruled that the self-proclaimed investment guru appeared to have used “risky trades” to “enrich himself”.
Austrian billionaire Harald McPike, one of the backers of the failed Okada Manila Casino acquisition, has arrested Spring Owl's founder in New York for allegedly embezzling a $25 million investment in the failed deal. I'm appealing.
The case is still ongoing, but Adar denies McPike's claims, according to a court filing posted Oct. 4.
In September, the newspaper reported that Adele's mother, Pamela, accused her of leaving her father's estate unpaid for millions of dollars in mortgage payments and hundreds of thousands of dollars in interest and unpaid taxes. exclusively revealed.
In a Sept. 23 court filing, Adele, through her attorney, declined to “grant or deny” the claims made by her widowed mother.
Ader's special investment vehicle, 26 Capital Acquisition Corp. Even if you get sued A company has filed a lawsuit over an allegedly unpaid $140,000 bill for Japanese translation services.
A separate lawsuit filed by Schulte Roth and Zabel over an unpaid $2 million lawsuit was settled by 26 Capital last year.
Spring Owl's website was offline for at least two weeks, with an error message displayed on the landing page for visitors.
The site was restored only after The Post reached out to Andrew Reeve, a lawyer who is representing Mr. Adar in several New York lawsuits over failed investment deals, for comment.
