Hedge Funds

SEC sues Wood River, claiming deceit

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The U.S. Securities and Exchange Commission on Thursday filed suit against Wood River Capital Management, claiming that the hedge fund firm's manager deceived investors by failing to disclose a highly concentrated investment in a speculative stock whose price had fallen steeply. The SEC also subpoenaed records from Wood River's Cayman Islands fund.

Wood River was launched in 2003 by John Whittier, 38, a former media and telecom equity analyst for Donaldson, Lufkin & Jenrette. The firm, with offices in Ketchum, Idaho, and San Francisco, formed an offshore fund in the Cayman Islands this year.

Whittier's company has been the