FBI Raids New York Brokerage Sky Capital
This article is from the archive of The New York Sun before the launch of its new website in 2022. The Sun has neither altered nor updated such articles but will seek to correct any errors, mis-categorizations or other problems introduced during transfer.

Agents from the Federal Bureau of Investigation raided the Manhattan offices of brokerage firm Sky Capital LLC Monday. A person answering the telephone at Sky Capital Tuesday said that CEO Ross Mandell had no comment.
FBI special agents executed a search warrant at Sky and left with boxes of documents, according to a person familiar with the matter. The probe appears related to shares offerings to foreign investors. A spokeswoman for the District Court for the Southern District of New York declined to comment, citing a policy of not discussing the possibility of an investigation. Sky Capital LLC is a subsidiary of Sky Capital Holdings Ltd., which is also the parent company of Sky Capital UK Ltd., a British firm.
Sky Capital Holdings shares trade on the AIM exchange in Britain under the symbol SKYB. Sky Capital LLC continued to make a limited market in American shares yesterday. According to information on Nasdaq’s Web site, the firm made a market in nine shares Monday. Some 25,000 shares of Sky Capital Holdings traded on the AIM market Tuesday at 16.5 pence.
Sky Capital Holdings reported on September 29 a net loss of $14 million in the year to March 31, compared with a loss of $12.1 million for the same period last year.