Wednesday, 20 August 2014
Last updated 12 hours ago
Nov 8 2010 | 1:14pm ET
Goldman Sachs has lost its bid to vacate the largest arbitration award ever levied against a securities firm, one stemming from the Bayou Group hedge fund fraud case.
U.S. District Judge Jed Rakoff today denied Goldman's petition to vacate the $20.6 million award to the unsecured creditors of Bayou, which collapsed four years ago, costing investors more than $400 million. A Financial Industry Regulation Authority made the award earlier this year after the creditors claimed that Goldman, which cleared Bayou's trades, showed "either gross negligence or a willful choice to ignore signs of fraud."
Goldman denied those allegations. The firm could still appeal the arbitration award.
Ross Intelisano, a lawyer for the Bayou creditors, said of Rakoff's decision, "we are looking forward to investors finally getting some of their money back from this tragic fraud."
Aug 4 2014 | 7:42am ET
By now, U.S. and international subscribers have received their home or office delivery of the special 500th issue of Futures magazine. You can too!—a very special offer follows. The issue is the largest in years—filled with the best trading strategies and stories from 43 years of being the primary publication for commodity, stock, options and forex traders. Read more…
The July/August 2014 issue is our largest in years—filled with the best trading strategies and stories from 43 years of being the primary publication for commodity, stock, options and forex traders.
The Alpha Pages Editor's Note