Judge Tosses Fund's Fraud Suit Against WaMu

Law360, New York (November 5, 2008, 12:00 AM EST) -- A Connecticut hedge fund will not be able to pursue federal securities fraud claims against Washington Mutual in an effort to recover $7 million lost in bad mortgage-backed securities investments, a federal judge ruled Tuesday.

Judge Jed S. Rakoff issued an order Tuesday dismissing the claims filed by Connecticut-based Good Hill Partners LP against the failed thrift in the U.S. District Court for the Southern District of New York.

In the order, the judge dismissed without prejudice fraud claims brought under Connecticut laws, allowing the investment...
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