SBA Takes Receivership Of Investor On Hook For $59M

Law360, New York (January 23, 2012, 4:15 PM EST) -- A Mississippi federal court on Friday approved the U.S. Small Business Administration's appointment as receiver for Pacesetter SBIC Fund Inc., a small-business investor that allegedly racked up $59 million in outstanding agency-issued debentures and preferred securities.

The court granted a consent order of receivership filed by the SBA. The agency has been entering similar filings related to the receivership in federal district courts across the country over the past month, after a Texas federal judge approved the SBA's original consent order on Dec. 20.

Pacesetter, a...
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