LISLE, Ill. & NEW YORK--(Business Wire)--
At a hearing today in U.S. Bankruptcy Court for the Northern
District of Illinois Eastern Division, the Honorable Susan Sonderby
dismissed the involuntary bankruptcy petition filed against the
onshore feeder to the Ritchie Multi-Strategy Fund (the "Fund") by
Benchmark Plus Partners, Benchmark Plus Institutional Partners and
Sterling Low Volatility Fund on December 26, 2007.
"We are obviously pleased with Judge Sonderby's ruling this
afternoon. We won today because the facts were on our side. As Judge
Sonderby found, the Fund is fully and timely meeting all of its
financial obligations and Ritchie Capital has acted in good faith.
Moreover, Ritchie Capital has gone above and beyond the usual
standards for hedge funds in providing financial information to their
investors," commented Ritchie's attorney Tom Cauley.
Ritchie Capital always believed that the petition was wholly
without merit and was a misuse of the Bankruptcy Court. The
petitioners have received all payments to which they are entitled
under the operative agreements of the Fund that Benchmark Plus and its
counsel negotiated and approved along with other investors.
Ritchie CEO, Thane Ritchie said, "This is an expected but
gratifying victory for all investors in the Fund, and a vindication of
our actions. Riding out the storm of tumultuous markets is never easy
but we have a disciplined strategy and it is working. Maximizing value
for all our investors has been and will be our primary mission. We
will always vigorously defend the interests of our investors, and we
will not walk away from our responsibility as other investment
managers have done."
Ritchie Capital remains committed to preserving and maximizing the
value of the Fund's remaining investments for all of its investors and
intends to hold the petitioners responsible for the costs of this
wrongful filing. Ritchie Capital will also continue to seek to recover
damages from Coventry First for the losses it has caused.
Neither Ritchie Capital nor any of its funds have ever been in
bankruptcy. The Fund had an indirect interest in two special purpose
entities that purchased life insurance policies from Coventry First
and filed for bankruptcy in June 2007 following the New York Attorney
General's complaint against Coventry First for fraudulent bidding
practices. These policies were sold at auction in January 2008.
Ritchie Capital and other plaintiffs are pursuing an action against
Coventry First.
About Ritchie Capital
Ritchie Capital is a diversified alternative asset management firm
established in 1997 with interests in hedge funds, private equity,
venture capital, insurance, energy and real estate and with offices in
Lisle, IL, New York, and Menlo Park, CA.
River Communications
Justin Meise, 845-226-8970
jmeise@riverinc.com
Copyright Business Wire 2008
