7th Circ. Kills Suit Over Hedge Fund's $7M Freddie Mac Loss

Law360, Los Angeles (July 9, 2013, 8:25 PM EDT) -- The Seventh Circuit on Tuesday affirmed the dismissal of an investor suit against hedge fund Sitara Capital Management LLC over the fund's loss of $6.8 million in Freddie Mac stock, saying the investors failed to present any valid causes of action.

A three-judge panel said Tuesday that while an Illinois federal court had given the investors a great deal of latitude to amend their complaint, the investors had repeatedly failed to plead any legitimate causes of action. The lower court granted summary judgment in favor of...
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