Wednesday, 7 October 2015
Last updated 21 hours ago
Nov 1 2013 | 11:57am ET
A Thomas Petters-linked hedge fund fraud case will go to trial, a federal judge has ruled.
Marlon Quan and his Acorn Capital Group and Stewardship Investment Advisors are accused of helping Petters cover up his $3.5 billion Ponzi scheme, engaging in so-called "round-trip" transactions in which Petters wired money to the firms which was returned immediately. Quan allegedly raised more than $459 million for the scam, according to a 2011 Securities and Exchange Commission lawsuit.
The suit will now go before a jury after U.S. District Judge Ann Montgomery rejected both sides' motion for summary judgment.
Montgomery found that the question of whether Quan's "lockbox account" and due-diligence representations were actually misleading is for a jury to determine.
Oct 7 2015 | 4:57am ET
Charity A Leg To Stand On (ALTSO) will hold its 12th Annual Hedge Fund Rocktoberfest – NYC on October 15 and its 4th Annual Rocktoberfest - Chicago on October 22. Read more…