GLG Sued Over Alleged Commission Deal

Mar 24 2009 | 2:00am ET

GLG Partners has been sued by an unidentified London businessman for allegedly failing to pay a promised commission.

According to the complaint, filed in a London court, the unnamed businessman introduced the hedge fund to Saudi sheikh that sought to invest as much as US$4 million in funds managed by GLG’s then-star trader, the Evening Standard reports. The lawsuit alleges that GLG director Paul Harvey offered the businessman a 2% commission if the sheikh invested.

He did, after meeting with GLG executives in 2006, but the suit claims the hedge fund has failed to pay the promised commission, despite receiving a formal invoice in June. The businessman also claims that Harvey asked him to put him in touch with other Middle Eastern investors.

The suit seeks US$80,000, including interest.

GLG said the allegations have “absolutely no basis.”

“GLG will vigorously contest this claim in court,” the hedge fund said.


In Depth

Exotic Assets: Investing In Rare Violins

Jan 17 2017 | 4:43pm ET

By definition, alternative investments include exotic assets far beyond your typical...

Lifestyle

'Tis the Season: Wall Street Holiday Parties Back In Fashion

Dec 22 2016 | 9:23pm ET

Spending on Wall Street holiday parties has largely returned to pre-2008 levels...

Guest Contributor

The Trump Administration: What It Could Mean for Carried Interest

Jan 19 2017 | 5:25pm ET

The arrival of the Trump administration brings the potential for a repeal of the...

 

From the current issue of

As initial anxiety over Donald Trump’s victory gave way to market euphoria in the days following the election, there was a casualty. Gold prices.