Bayou Receiver Gets OK On Liquidation Plan

Dec 28 2009 | 12:45pm ET

The Bayou Group collapsed more than four years ago. The hedge fund’s masterminds, who defrauded investors of some $450 million, are behind bars. And now, the Stamford, Conn.-based firm’s story is finally coming to an end.

A judge has approved the Bayou receiver’s liquidation plan. The court’s confirmation order will force Bayou investors, like those of other recent hedge fund frauds, to return any fictitious profits they withdrew prior to the firm’s 2005 collapse. The judge also ruled that investors who had suspected something was amiss at the firm had to return any principal they withdrew.

The plan also details how the recovered assets are to be returned.


In Depth

MiFID2 For U.S. Firms: Key Questions Answered

Feb 27 2017 | 4:54pm ET

The January 2018 deadline for implementation of the EU’s mammoth MiFID2 regulations...

Lifestyle

'Tis the Season: Wall Street Holiday Parties Back In Fashion

Dec 22 2016 | 9:23pm ET

Spending on Wall Street holiday parties has largely returned to pre-2008 levels...

Guest Contributor

iCapital Network: The Trump Effect On Direct Lending

Feb 23 2017 | 4:21pm ET

The arrival of the Trump Administration has raised questions among private debt...

 

From the current issue of