NIR Group seeks to calm nerves as probe widens

``Ribotsky wrote to his clients -- a relatively rare occurrence -- nearly a year after the initial disclosure that his $750 million hedge fund was being investigated by federal prosecutors for allegedly inflating returns... Despite Ribotsky's assurances, there are indications that U.S. authorities are stepping up their inquiry, said people familiar with the situation, who declined to be identified because of the sensitivity of the matter... Investors in Ribotsky's fund have been mostly unable to get their money back since November 2008. Like many hedge funds during the financial crisis, Ribotsky suspended redemptions or "gated" his fund.''