Amaranth Advisors, the now-defunct multistrategy firm, and two former Amaranth traders are refuting government charges of unlawfully manipulating the energy markets. The defendants are also challenging the Federal Energy Regulatory Commissions authority to bring the case.
Amaranth and the two traders, Brian Hunter and Matthew Donohoe, collectively face $291 million in fines from charges brought by FERC in July. That month, the Commodity Futures Trading Commission filed civil suits against all three parties.
Greenwich, Conn.-based Amaranth, which was founded by ex-Paloma man Nick Maounis, wound down last year after losing about $6 billion on bad bets on the natural gas