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Steve Cohen tries to tell Mets fans that GameStop not his Madoff moment

Mets followers bought nervous this week when majority proprietor Steve Cohen’s hedge fund shelled out $750 million to assist cowl the losses of one other fund within the GameStop/Reddit/WallStreetBets stock-short squeeze. The bailed-out fund went bust anyway.

Is it again to the dangerous previous days of the Wilponzis? Will Cohen need to dump wage if he finally loses his shirt on the failed quick? Cohen had a easy reply Tuesday on Twitter: Um, no.

Requested whether or not the money advance by Cohen’s Point72 Asset Administration to Melvin Capital would “impact” (sic) the crew’s payroll, Cohen replied this manner:

Cohen, whose estimated private wealth of $14 billion will get thrown round as if he’ll pay gamers out of his personal pocket, was basically reminding followers that the Mets and Point72 function out of separate piles of money.

MORE: Francisco Lindor trade grades

However it’s comprehensible that followers would assume Cohen had a Bernie Madoff second when he transferred three-quarters of a billion {dollars} to Melvin Capital, which is run by Gabe Plotkin, a former Cohen worker, in alternate for “a non-controlling income share” in Plotkin’s agency. One other agency threw a further $2 billion at Melvin to rescue it. That cash, and billions extra, disappeared Tuesday as GameStop’s inventory value continued to soar. Now Melvin Capital will reportedly declare chapter as early as subsequent week.

As followers know all too nicely, the Mets’ earlier majority possession — Fred Wilpon and Saul Katz — had large money circulation issues for years after being stung by Madoff’s Ponzi scheme.

There was some small reassurance Wednesday when the Mets reportedly agreed to a one-year, main league contract with free-agent left-handed reliever Aaron Loup. The membership has made 4 primary free-agent additions this offseason underneath Cohen: Loup, James McCann, Trevor Might and Jose Martinez. It is also in rivalry for free-agent right-hander Trevor Bauer, whose wage will dwarf the mixed take of these 4, and so they’re nonetheless available in the market for a full-time middle fielder, equivalent to Jackie Bradley Jr. 

Plus, there was the commerce for Francisco Lindor and Carlos Carrasco, who will make an estimated $34 million mixed in 2021.

The Mets’ Aggressive Steadiness Tax payroll determine was estimated at $182.9 million, nicely in need of the $210 million tax threshold, previous to the Loup settlement, per Cot’s Contracts. (UPDATE: The Mets shaved $5.2 million off that quantity later Wednesday by buying and selling left-hander Steven Matz to the Blue Jays.) Bauer will definitely get them over that line. That is a reasonably good indication Cohen is not nervous he’ll be pinching pennies the best way Wilpon and Katz did.

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