Greenwich Time website:
Two prominent financial institutions are facing allegations of deceptive investment and management tactics after a Greenwich employee filed a lawsuit claiming he was singled out for blowing the whistle on a series of "improper practices."
The lawsuit, filed Thursday against JPMorgan Chase & Co. by Greenwich resident Kevin Dillon, alleges that supervisors at the financial giant attempted to force Dillon out of his job after he discovered "highly questionable accounting and management practices" of Highland Capital Management LP, a Texas-based hedge fund that receives support services from JPMorgan, according to the lawsuit.
The 12-page complaint filed in state Superior Court in Stamford states that Dillon observed Highland Capital "artificially manipulating" the net asset value of certain funds by cross-trading assets between Highland hedge funds at settlement prices that were deceptively set, back dating cross-trades to capture a more favorable asset value and placing poor-performing investments in a particular fund called the "Crusader Fund" to shield its other portfolios, among other allegations.
Highland Capital is not named as a defendant in the lawsuit.
No comments:
Post a Comment