Mexican Media Brands
Two Investors Sue Turnaround Queen Tilton for Fraud
Two investors in funds managed by Patriarch Partners LLC say the firm, headed by turnaround expert Lynn Tilton, gave them false and misleading information, Bloomberg News reports.
#legal
Share
Two investors in funds managed by Patriarch Partners LLC say the firm, headed by turnaround expert Lynn Tilton, gave them false and misleading information, Bloomberg News reports. Tilton is CEO of parts supplier Dura Automotive Systems Inc.
Hannover Funding LLC and Norddeutsche Landesbank Girozentrale filed the $44 million lawsuit in Manhattan on Friday, claiming the "vast majority" of information they received from Patriarch was false.
The lawsuit follows a complaint of fraud filed against Tilton and Patriarch by the U.S. Securities and Exchange Commission on March 30. They manipulated the terms of some $2.5 billion in collateralized loans and collected nearly $200 million in excessive fees for Patriarch, according to the charges.
Tilton promptly sued the SEC, claiming it is subverting her constitutional rights to a fair trial by handling its charges through an administrative proceeding rather than in federal court. The commission says its procedure is routine.
RELATED CONTENT
-
Tesla Sued Over Fatal Crash of Car in Autopilot Mode
Tesla Inc. has been sued by the family of a California man whose Tesla Model X crossover vehicle crashed into a highway barrier last year while the car was operating in semi-autonomous Autopilot mode.
-
Report: Ghosn Kept List of Hidden Compensation
Japanese prosecutors have found a list apparently created by former Nissan Motor Co. Chairman Carlos Ghosn that charts compensation the company didn’t report but he expected to receive, The Nikkei says.
-
U.S. Lawsuit Says Bosch Conspired with VW on Cheater Diesels
A U.S. lawsuit claims Robert Bosch GmbH conspired with Volkswagen AG to equip diesel-powered vehicles with software to cheat emission tests.