Hedge Funds Institutional Investors

Massachussetts sues Fairfield Greenwich in Madoff case


The top securities regulator for Massachusetts, Secretary of the Commonwealth William Galvin, filed an administrative complaint Wednesday charging that Fairfield Greenwich Group, which had managed the largest hedge fund to feed investor assets to Bernard Madoff’s ponzi scheme, misled investors and disregarded its responsibility to conduct proper due diligence.

“Fairfield’s complete disregard of its fiduciary duties to its investors and its flagrant and recurring misrepresentations to its investors rises to the level of fraud,” the complaint alleges.

Fairfield maintains that it was an innocent victim of Madoff’s scheme. The firm has said that Galvin’s allegations are false and