Pentagon Capital Requests Chop To $77M SEC Penalty

Law360, New York (March 21, 2012, 6:00 PM EDT) -- Hedge fund manager Pentagon Capital Management PLC urged a judge Wednesday to reduce its $76.8 million penalty in a U.S. Securities and Exchange Commission case alleging illegal late trading, arguing that the penalty is disproportionately high.

British-based Pentagon says an earlier opinion requiring it to pay a $38.4 million disgorgement and another $38.4 million in civil penalties is completely out of step with the fund's alleged gain from the scheme.

The scenario involved Pentagon trading in mutual funds after market close using the daytime price 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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