Thursday, 28 August 2014
Last updated 1 hour ago
May 7 2010 | 3:27am ET
Greenlight Capital has won another victory over private equity firm Allied Capital Corp., as a former Allied portfolio company has settled charges that it defied federal regulations.
The New York hedge fund had sued Business Loan Center, now called Ciena Capital, and its parent, Business Loan Express, accusing the business lender of certifying that it complied with Small Business Administration Rules when it, in fact, did not. Greenlight and its co-plaintiff, James Brickman, brought a so-called whistleblower suit against Ciena, which allows private citizens and companies to sue on behalf of the U.S. government.
Greenlight and Brickman will split $4.3 million of the $26.3 million settlement, which also resolves Greenlight’s demand that Allied Capital be held accountable for Ciena’s wrongdoing.
Ciena’s failure to heed the SBA rules emerged after several federally-backed loans the firm made and serviced defaulted. One of its former executives has been sentenced to 10 years in prison for his role in the fraud.
The settlement still requires the approval of a federal bankruptcy judge, who will hold a hearing next month.
Aug 25 2014 | 11:21am ET
As many of you know, FINalternatives was recently acquired by the owners of Futures magazine, a firm called The Alpha Pages LLC. Today marks the soft-launch of a new sister site for both publications. As its name suggests, The Alpha Pages will cover all types of alternative investments, going far beyond the more well-known ones such as hedge funds and private equity. Read more…
Commodities/Futures magazine launched at the precipice of a revolution in the futures industry—really a revolution in the idea of risk management—that would move it from a small niche industry to ...