|
|
By Opalesque Geneva: Investors are watching the private credit market, weary of the few recent wobbles which may or may not herald a larger wave.
Following the recent collapse of Tricolor, a subprime auto lender, and First Brands, an auto parts maker which borrowed money through supply-chain finance, Western Alliance Bancorporation in Arizona and Zions Bancorporation in Utah have filed lawsuits to recover a collective $160m lent to investments funds managed by California-based borrower Cantor Group. The later, who is not affiliated to Cantor Fitzgerald, denies any wrongdoing. The company is nowhere to be found online.
Zions disclosed about $60m worth of loans that may not be repaid. "Zions' subsidiary, California Bank & Trust, is suing Andrew Stupin and Gerald Marcil - the until now, relatively unknown managers of several funds utilizing the name "Cantor Group," along with their associate Deba Shyam," reported CNBC. The lawsuit alleges betrayal of trust, manipulation of loan structures, and systematic elimination of collateral protections that would secure the bank's loans.
Western Alliance, in which Citadel took a 5% ...................... To view our full article Click here
|
|
RSS
