In The News
- Philanthropist Sues NY Hedge Fund (Hedgeweek)
- Paulson Sued Over Sino-Forest Wager (Wall Street Journal)
- John Paulson Hedge Fund Sued For Negligence (Huffington Post)
Press Releases
- Culverhouse's Lawyers To Expand Lawsuit Against John Paulson's Firms (February 23, 2012)
- Prominent Miami Investor and Philanthropist Sues NY Hedge Fund (February 22, 2012)
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Lawsuit Against Paulson Companies for Sino-Forest Investment
| The class action lawsuit being brought against the Paulson companies regarding its large investment in allegedly fraudulent Chinese timber company Sino-Forest is likely to expand, with other investors in the Paulson Advantage and Paulson Advantage Plus funds potentially joining prominent Miami investor and philanthropist Hugh Culverhouse as plaintiffs. Investors in those funds suffered huge losses when Sino-Forest's stock plummeted 70-percent in June 2011 after investigatory reports revealed that Sino-Forest |
 Lawrence Kellogg |
 Harvey Gurland |
was the subject of internal and external investigations and class actions and its documentation and holdings were not officially recognized by the Chinese government.
The lawsuit, filed in the U.S. District Court for the Southern District of Florida on February 21, 2012, asserts that the flaws in Sino-Forest should have been obvious to a sophisticated hedge fund manager, and that the Paulson companies are culpable for the drastic deterioration in share value that its investors suffered as a result. Attorneys Harvey Gurland of Duane Morris LLP and Lawrence Kellogg of Levine Kellogg Lehman Schneider + Grossman LLP estimate that there may be hundreds or even thousands of such investors.
Current and former investors in the Paulson Advantage or Paulson Advantage Plus funds seeking more information can contact Harvey Gurland (at 305.960.2214 or hwgurland@duanemorris.com) or Lawrence Kellogg (at 305.403.8788 or lak@lkllaw.com).
