Dallas News – A small Dallas hedge fund firm is suing three Chicago-based trading companies, including hedge fund giant Citadel, for losses sustained during the “flash crash” on May 6.
GovPlus Master Fund LP and GovPlus Fund AI LP, which are managed by Dallas-based financial firm NorCap, say the Chicago funds should give back $3.15 million that the GovPlus funds paid for put options. The trades occurred as financial markets were going haywire, with many prices plunging and then recovering in a brief period of afternoon trading.
