Saturday, 28 February 2015
Last updated 11 hours ago
Nov 13 2007 | 11:58am ET
It took more than two years, but the hedge fund sued by Overstock.com has finally countersued.
Larkspur, Calif.-based Copper River Partners, accused by Overstock of being part of a wide-ranging conspiracy to drive down its stock price, returned fire, alleging that the online retailer used a campaign of misinformation and fudged accounting to jack up its share price.
In addition, Copper River—the former Rocker Partners—accuses Overstock of a “campaign of menace” using short squeezes to distract investors from its poor performance.
The hedge fund says Overstock altered its accounting system to allow it to claim a big jump in revenues, though there was allegedly no corresponding spike in business activity. It also accuses Overstock CEO Patrick Byrne of publicly downplaying the company’s need for capital.
Overstock said there is nothing to Copper River’s claims.
Jan 23 2015 | 1:00pm ET
In our new section, FINtech Focus, we will profile one of these firms each week. While fintech is a broad category, we will be focusing on firms that specifically cater to the alternative investment industry. Read more…