On June 18, 2008, the US Attorney for the Eastern District of New York filed an indictment against Ralph Cioffi, 52, and Matthew Tannin, 46, former managers of two failed Bear Stearns hedge funds. Whether or not the government ultimately proves its case, the indictment contains important lessons for hedge fund managers, lawyers, compliance personnel and investors in at least two areas: (1) how to negotiate discussions with investors, lenders and other constituencies during periods of declining performance, and (2) how to use – and not use – e-mail.