Interesting... That crunchbase article directly links to 3 other VC/private equity firms that invested heavily: ATA Ventures, Partner Fund Mgmt, Fortress Investment Group. Usually I only hear about George Shultz, Henry Kissinger (and I was thinking the wal-mart family, but they're not listed).

At any rate it's either close the "loophole" or accept the fact that proving intent to defraud is much harder than proving stupid. But at least we get to call them stupid.