Investigation by SEC into Lynn Tilton's companies
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Investigation by SEC into Lynn Tilton's companies
SEC investigation into LT.
HeliHub SEC Announces Fraud Charges Against Lynn Tilton
Sounds a lot like the RDM saga and Joop DVN. Is he still in partnership with her at MDHI? Hundreds of millions involved as usual!
HeliHub SEC Announces Fraud Charges Against Lynn Tilton
Sounds a lot like the RDM saga and Joop DVN. Is he still in partnership with her at MDHI? Hundreds of millions involved as usual!
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From Flight's report on the investigation:
I/C
Speaking to reporters in early March at Heli-Expo, Tilton dismissed a question about whether the SEC investigation was having an impact on MD Helicopters’ operations, then accused the journalist who asked the question of sexism.
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Lynn tilton and patriarch partners file suit against sec
This morning, Lynn Tilton, Patriarch Partners, LLC and certain of its affiliated entities filed suit against the Securities and Exchange Commission in the United States District Court for the Southern District of New York alleging that the SEC's program for administrative enforcement proceedings violates Article II of the U.S. Constitution.
The suit was filed in response to the SEC’s decision, after more than five years of investigation, to bring its claims against Tilton and Patriarch in an abbreviated administrative proceeding before an Administrative Law Judge rather than in a U.S. District Court, where there are greater discovery rights and the right to a jury trial.
Although the SEC long has acknowledged that "[t]he power to investigate carries with it the power to defame and destroy", the SEC wants to litigate this matter in its own administrative court before its own administrative judges, without the same due process rights available to litigants in the federal courts, notwithstanding the collateral damage that may result.
Tilton and Patriarch strongly believe that the most fair and appropriate forum for this complex, five-year-old matter is U.S. District Court, and they urged the SEC Staff to bring their case in that forum.
We felt compelled to bring this suit, which we strongly believe is in the best interests of not only ourselves, but the Zohar Funds, the portfolio companies and their employees, and the Zohar Fund noteholders.
Statement Re: SEC Enforcement Action
As stated on March 30, 2015, Patriarch Partners is disappointed that the SEC has chosen to bring an enforcement action that is ill-founded and at odds with Patriarch’s investment strategy, which was consistently disclosed since the inception of the Funds. We look forward to the opportunity to vigorously defend ourselves against the SEC’s allegations.
Patriarch Partners is focused on the restructure and rebuild of deeply distressed American companies and we do this through a unique CLO structure that explicitly provides for the flexibility to turnaround distressed companies and create value for the Funds and its noteholders. Since its founding in 2000, Patriarch has successfully restructured numerous businesses and has saved hundreds of thousands of jobs.
The suit was filed in response to the SEC’s decision, after more than five years of investigation, to bring its claims against Tilton and Patriarch in an abbreviated administrative proceeding before an Administrative Law Judge rather than in a U.S. District Court, where there are greater discovery rights and the right to a jury trial.
Although the SEC long has acknowledged that "[t]he power to investigate carries with it the power to defame and destroy", the SEC wants to litigate this matter in its own administrative court before its own administrative judges, without the same due process rights available to litigants in the federal courts, notwithstanding the collateral damage that may result.
Tilton and Patriarch strongly believe that the most fair and appropriate forum for this complex, five-year-old matter is U.S. District Court, and they urged the SEC Staff to bring their case in that forum.
We felt compelled to bring this suit, which we strongly believe is in the best interests of not only ourselves, but the Zohar Funds, the portfolio companies and their employees, and the Zohar Fund noteholders.
Statement Re: SEC Enforcement Action
As stated on March 30, 2015, Patriarch Partners is disappointed that the SEC has chosen to bring an enforcement action that is ill-founded and at odds with Patriarch’s investment strategy, which was consistently disclosed since the inception of the Funds. We look forward to the opportunity to vigorously defend ourselves against the SEC’s allegations.
Patriarch Partners is focused on the restructure and rebuild of deeply distressed American companies and we do this through a unique CLO structure that explicitly provides for the flexibility to turnaround distressed companies and create value for the Funds and its noteholders. Since its founding in 2000, Patriarch has successfully restructured numerous businesses and has saved hundreds of thousands of jobs.
