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‘Fabulous Fab’ gets new assignment at U of C
A former Goldman Sachs trader found liable for securities fraud six months ago will no longer teach an economics honors class to undergraduate students at the University of Chicago this spring — but he will still teach as part of his Ph.D. requirements, the university announced.
Fabrice Tourre, a former bond trader who called himself “Fabulous Fab” in emails to his girlfriend and bragged about selling worthless mortgage bonds to widows and orphans, will teach graduate students in an unspecified course at an unspecified time, said a university source who asked not to be named.
The university did not elaborate in a statement on who made the decision to change Tourre’s teaching duties or why.
Tourre enrolled at Hyde Park university in 2011 and is studying for a Ph.D. in economics.
A federal court jury in New York last August found Tourre liable on six of seven counts of securities fraud for his role in one of the highest-profile civil cases related to subprime mortgage fraud. The fraud cost investors $1 billion and presaged the nation’s financial crisis and housing mortgage meltdown.
Tourre, who could not be reached for comment, hasn’t been able to get a new trial, according to media reports.
The SEC had accused Tourre of misleading investors about subprime mortgage securities that he knew would fail.