» fbi-raid » Hedge Fund News From HedgeCo.Net

Ritchie Funds Sued by Barclays Over Hidden Petters Group Stake

Thursday, November 20, 2008 : Permalink

Bloomberg – Ritchie Capital Management and Thane Ritchie, the hedge fund manager’s principal, were sued by Barclays Bank Plc over accusations they concealed more than $150 million in investments made in the collapsed Petters Group Worldwide LLC and affiliates.

Now bankrupt, Petters Group, based in Minnetonka, Minnesota, was raided in September by FBI agents acting on information that the company may have cheated at least 20 investors. Principal Tom Petters, accused of leading a $2 billion fraud, is being held without bail in a Minnesota jail.

“Thane Ritchie made the decision to invest significant sums” from two of his firm’s hedge funds with Petters, at a time when those funds “were supposed to be winding down,” Barclays said in a complaint filed Nov. 18 in Illinois state court in Chicago.

Read Complete Article

Tags: 30-million, 6-million, disagreements, fbi-raid, investigations, investment-firm, medallion, midst, morning-herald, personal-reasons, politicians, proceeds, publishing-company, wednesday-night

trackback from your site.

Deephaven Freezes Multistrategy Hedge Fund to Avoid Asset Sales

Friday, October 31, 2008 : Permalink

Bloomberg – Deephaven Capital Management LLC, the hedge-fund unit of stockbroker Knight Capital Group Inc., froze a $1.6 billion fund after investors asked to get back 30 percent of their money.

Withdrawals from the Deephaven Global Multistrategy Fund were suspended so managers wouldn’t be forced to sell assets in falling stock and debt markets, the Minnetonka, Minnesota-based firm said yesterday in a letter to investors. Lenders and trading partners also imposed stricter financing requirements, according to the letter.

Deephaven Global, which trades a variety of securities including bonds and commodities, follows RAB Capital Plc, Ore Hill Partners LLC and Highland Capital Management LP in limiting withdrawals amid the worst financial crisis since the Great Depression. The fund lost 15 percent this year through September, and Deephaven estimated it has fallen an additional 10 percent this month. The fund has returned an average of 16 percent annually since opening in 1994.

“This level of redemptions in the current market environment forces the question of whether such redemptions can be processed in the ordinary course without disadvantaging both continuing and later redeeming investors,” said the letter, signed by Colin Smith, Deephaven’s chief executive officer .

Read Complete Article

Tags: acquisition, actis, contagion, downside, fbi-raid, future-products, geffen, lackluster-performance, management-focus, oeh, pardus-capital-management, qualitative-assessment, reuters-australia, spokesperson, u-s-treasury

trackback from your site.

HedgeCo.Net

Ritchie Funds Sued by Barclays Over Hidden Petters Group Stake

Deephaven Freezes Multistrategy Hedge Fund to Avoid Asset Sales

Investors

Hedge Fund Managers

My Account

Information / Support

Related Websites