Reuters – A prominent shareholder activist will on Friday urge a court to strike down the chief US financial regulator’s flagship rule to supervise the hedge fund industry.
Lawyers for Phillip Goldstein, New York-based head of hedge fund Opportunity Partners, will ask a federal appeals court to declare invalid the hedge fund registration rule drawn up by the Securities and Exchange Commission.
It is the second legal challenge to SEC regulation masterminded by William Donaldson, the former chairman of the regulator, who stepped down in June.
The US Chamber of Commerce is seeking to strike down the SEC rule that is supposed to improve mutual fund governance.
