SEC, Fund Advisers Head Toward Trial Over Billion-Dollar Losses

An SEC enforcement action against two financial firms and their managers over more than a billion dollars in investment losses raises factual issues about that must be decided by a jury, a federal court ruled.

Neither the Securities and Exchange Commission nor the defendants can win on any of the claims based on the lack of a real dispute about the evidence, Judge Sunil R. Harjani said Thursday for the US District Court for the Northern District of Illinois.

The SEC sued LJM Partners Ltd., affiliated advisory firm LJM Funds Management Ltd., owner Anthony Caine, and investment manager Anish Parvataneni, ...