Bloomberg – The estate of hedge-fund firm Bayou Group LLC, which turned out to be a Ponzi scheme, won a jury verdict requiring hedge funds that redeemed their money before Bayou collapsed to pay investors $13 million, a lawyer said.
Today’s victory in federal court in Manhattan follows the estate’s previous recovery of $5.4 million in “fictitious profits,” bringing the total recouped to more than $60 million, said Gary Mennitt, a lawyer representing the estate for the benefit of its investors.
