Bloomberg reports that the hedge fund is ordered to return the remainder of Lerners’ $40 million investment.
“I order a remedy requiring the immediate return of all Lerner’s capital invested in the fund along with interest tied to the delay in handing over the funds,” The judge said in 100-page ruling.
Lerner rebuffed a March offer by the Paiges to settle the case for about $3 million, according to court filings. The hedge fund barred Lerner from withdrawing his money because it amounted to more than 20 percent of the fund’s assets under management. The fund also returned about $8 million to Lerner in November 2010, according to court filings.
In 2009, according to Bloomberg, the hedge fund manager Christopher Paige sought the Republican nomination for a U.S. House of Representatives seat in the Poconos section of northeastern Pennsylvania. He dropped out of the race in March 2010.
Editing by Alex Akesson