Pentagon Capital Must Pay $77M In SEC Late-Trading Case

Law360, New York (February 14, 2012, 9:45 PM EST) -- A New York federal judge on Tuesday ordered Pentagon Capital Management PLC to pay $76.8 million after the U.S. Securities and Exchange Commission accused the British hedge fund of netting $62 million through a scheme to defraud U.S. mutual funds by illegal late trading.

U.S. District Judge Robert W. Sweet said in a 126-page opinion that Pentagon had violated securities laws by submitting late-trade orders, and sentenced the hedge fund to disgorge $38.4 million and to pay an additional $38.4 million in civil penalties, according to...
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Case Information

Case Title

Securities and Exchange Commisison v. Pentagon Capital Management PLC et al

Case Number



New York Southern

Nature of Suit



Robert W. Sweet

Date Filed

April 3, 2008

Law Firms

Government Agencies

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