Gottex Fund Management has sued a Connecticut hedge fund manager, alleging that it broke promises and misled it over redemption requests.
The US$16 billion Swiss fund of hedge funds manager says that Greenwich-based Stewardship Investment Advisors and its managing director, Marlon Quan, did anything but live up to the firm’s name. According to the complaint, filed in Connecticut federal court, Stewardship agreed to let Gottex withdraw its $100 million investment but paid out the redemption in participatory notes. It also accuses Stewardship and Quan of misleading it about lowered management fees after it threatened to withdraw its money two years ago.
The charges in the complaint include fraud, intentional misrepresentation, negligent misrepresentation, and breach of good faith and fair dealing.
Stewardship asked a judge to dismiss the case last week.