Gottex Sues Connecticut Hedge Fund For Alleged Fraud

Jul 16 2008 | 11:00am ET

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.


In Depth

Creating An Offshore Hedge Fund Dream Team: The Seven Key Players

Jun 26 2015 | 6:47am ET

If you want to set up an offshore hedge fund, like any great team, you’re only...

Lifestyle

Hedgies Set to Compete in Wall Street Decathlon

Jun 8 2015 | 12:37am ET

The Wall Street Decathlon — a 10-event physical challenge that will crown “Wall...

Guest Contributor

6 Essential Principles To Balance Your Investment Risk

Jun 26 2015 | 10:07am ET

In this article, financial expert Greg Silberman explores how to hedge a private...

 

Editor's Note