The Monetary Authority of Singapore (MAS) has lifted the suspension on two hedge funds linked to a Hong Kong company under investigation for fraud.

The funds were formerly managed by Hong Kong-based Charles Schmitt & Associates (CSA). Charles Schmitt was charged in September with theft of USD 930,000 from the CSA Absolute Return Fund.

The funds have been taken over and are now managed by newly-established Oria Capital, which was set up by former executives of CSA.

The two funds that are now open for trades are the renamed Oria Market Neutral Fund (Dublin) and the Oria Plus Fund. They were formerly called CSA Absolute Return Fund (Dublin) and CSA Absolute Return Plus Fund.

Brian MacDougall, executive director of Oria, said the two Oria funds have undergone the scrutiny of Hong Kong's Securities and Futures Commission, Cayman Islands authorities and the MAS.

A third fund, the flagship CSA Absolute Return Fund that CSA founder Charles Schmitt is accused of stealing money from, remains under provisional liquidation.

According to sources, 80% of the fund's assets has been accounted for. PwC said an informal committee of seven investors will be formed to obtain views on the future of the fund.