February 06, 2012
A New York federal judge on Monday upheld a jury verdict in a bankruptcy clawback suit against investors in Bayou Group LLC who cashed out before the public learned its hedge funds were a $450 million Ponzi scheme.
May 13, 2011
Rejecting the good faith defense put forward by investors that cashed out of Bayou Group LLC well before the $450 million Ponzi scheme's collapse, a New York federal jury on Thursday said the investors must return $13 million in principal to the bankrupted Bayou estate.
November 05, 2010
A federal judge has referred disputes over nearly $25 million distributed to investors in now-defunct Ponzi scheme operator Bayou Group LLC to a magistrate judge, hoping to encourage settlements in the bankruptcy estate's efforts to recover the funds for creditors.
September 20, 2010
A federal judge has reversed a bankruptcy court’s finding that investors who pulled out of Bayou Group LLC are not necessarily required to return all the funds they received as allegedly fraudulent transfers before the hedge fund was unmasked as a $450 million Ponzi scheme.