Archegos Trial: Bill Hwang Accused of Criminal Racketeering Over Collapse of $36bn Firm

The upcoming trial for Sung Kook “Bill” Hwang, accused of criminal racketeering relating to the collapse of his $36 billion investment firm Archegos Capital Management in 2021, is set to begin with jury selection this week. Prosecutors allege that Hwang and his former CFO, Patrick Halligan, used financial contracts called total return swaps to conceal vast holdings in multiple companies, causing significant shareholder losses when the positions became too large to sustain. The trial is expected to last up to eight weeks, with both parties having the opportunity to question potential jurors regarding their backgrounds and potential prejudices during voir dire. The two men have both pleaded not guilty, with Hwang’s lawyers describing the case as the “most aggressive open market manipulation case ever” brought by prosecutors. The trial follows the guilty pleas of Archegos head trader William Tomita and Chief Risk Officer Scott Becker, who are due to testify at the trial.