atans1

Hedgie beats GIC in court case

In GIC on 11/08/2011 at 6:51 am

Paulson & Co, the US hedge fund, has won a US court victory against GIC over control of a group of luxury hotels that brings it closer to making potential windfall profits.

GIC has been trying to win control of the hotels from a group led by Paulson & Co since early this year. These hotels were originally part of the holdings of troubled Morgan Stanley real estate funds –

The FT reports, In a little noticed judgment at the end of June, the court extended for another four months the Paulson group’s exclusive rights to file a bankruptcy plan.

GIC had argued that the Paulson group would manipulate the bankruptcy process for its own gain. According to court documents, GIC said the Paulson group was delaying resolution to enable it to “bet on a significant upswing in the commercial real estate market”.

Note SWFs are reluctant to court the publicity that goes with litigation.

Note this hedgie made billions buying BoA when Temask was selling its “30-yr” investment.

About these ads
  1. I am catching your cynicism. The Singapore government (and its related entities) seems to be losing many more court cases outside its jurisdiction. When was the last time it lost big in a Singapore court?

  2. Paulson & Co lost a bundle on BoA and Citi this year. Not to mention Sinoforest. Paulson has seems to have the same taste in stocks as Temasek/GIC, for some reason. Anyway, the rumour is that the recent selldown is caused by at least one large hedgie (Paulson) getting the margin call.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

Follow

Get every new post delivered to your Inbox.

Join 206 other followers

%d bloggers like this: