Investment Management Litigation

Experience

    • A number of investment management firms on pre-SEC examination and compliance issues.
    • A private equity firm in an SEC investigation relating to “zombie” funds.
    • Several private equity firms in investigations by the New York State Attorney General regarding the tax treatment of the firms’ management fees and management fee offsets.
    • A number of private equity firms in U.S. federal and state investigations concerning the use of placement agents.
    • Notz, Stucki et Cie, its directors, and related entities, in litigation related to substantial investments with Bernard L. Madoff Investment Securities, in obtaining dismissal of investor class action litigation purporting to assert claims for fraud and breach of common law duties in connection with one of the firm's managed funds, and in adversary proceedings brought by the Trustee of the BLMIS estate in the bankruptcy proceeding.
    • One of the founders of a large hedge fund in a criminal insider trading investigation being conducted by the SEC and the U.S. Attorney’s Office in Manhattan.
    • The Chief Risk Officer of a large hedge fund in a regulatory investigation by the Federal Energy Regulation Commission, as well as in his defense in a securities fraud action brought by a state pension fund investor in the fund, arising from substantial losses by the fund.
    • A portfolio company of a private equity firm in an SEC investigation relating to valuation of a CDO by a subsidiary prior to its acquisition.
    • An investment adviser in an SEC investigation arising from an inspection relating to allocation of IPOs and other investment opportunities across managed accounts and funds.
    • A number of private equity firms in analyzing the litigation and FCPA risks associated with potential acquisitions and investments.
    • A private equity firm and a portfolio company in SEC comments concerning auditor independence issues.
    • Regular advice to private equity firms on matters involving the FCPA, including a private equity subsidiary of a leading global financial institution in conducting an internal review of portfolio companies to identify potential anti-corruption compliance issues and to recommend internal compliance changes to enhance prevention detection and remediation of potential issues.
    • A non-US hedge fund in an SEC investigation concerning insider trading.
    • The independent directors of funds advised by two mutual fund advisers in various matters, including advice on issues arising under the Investment Company Act of 1940 and the Investment Advisors Act of 1940, and in civil litigation.
    • A hedge fund advisor and its managing member on potential litigation involving the purchase and sale of an ownership interest in the advisor.
    • Successful defense of a hedge fund managing director in an SEC insider trading investigation involving PIPEs transactions.
    • Successful defense of a managing director of a private equity firm in an SEC insider trading investigation relating to the acquisition of a portfolio company.
    • A hedge fund and its founders in an SEC investigation relating to financing arrangements with small cap companies.
    • A leading hedge fund complex in an action by a former partner seeking to challenge the validity of release and severance arrangements.
    • Regular advice and training to hedge funds and private equity firms concerning the application of the insider trading laws.
    • An investment management firm in an SEC inquiry relating to foreign exchange transactions.
    • A portfolio company of a private equity firm in Section 16 “short swing” trading claims by a private plaintiff.
    • A private equity firm and its portfolio company in discussions with the company’s auditors and the SEC concerning a restatement.
    • A private equity firm and one of its portfolio companies in litigation arising from the company’s acquisition finance and debt restructuring.
    • A private equity firm and its portfolio companies in various matters, including advice regarding credit and asset-backed securitization agreements and litigation regarding the sale of a portfolio company.