When Kyle Bass of Hayman Capital first uncovered the United Development Funding “scheme,” he almost found it hard to believe. From his perspective as a hedge fund manager, familiar with the nuance inside how sophisticated investments operate, he and his lead researcher, Parker Lewis, who had been working on uncovering the alleged fraud for more than two years, found a treasure trove of what appeared like white-collar crime. Suspicious loans were extended to related parties, the participants in an alleged fraud were purchasing private jets together all while investors remained in the dark.