Investors who lost a total of about $4.5 million in a Ponzi scheme allegedly run by fund manager Arthur Nadel have sued Holland & Knight, claiming the offering documents the firm helped Nadel prepare failed to mention key facts -- including that Nadel had been disbarred for fraud, according to the complaint. The documents are private placement memos, which enticed investors to put money in one of several funds allegedly controlled by Nadel, since charged with using those funds to orchestrate a $360 million scheme.
Holland & Knight Sued Over Documents in $360 Million Ponzi Scheme
The American Lawyer
May 19, 2009