(CMR) Auditor BDO's operations in the Cayman Islands, Trinidad & Tobago and the United States are being sued for $280 million in damages by the liquidators of a Cayman fund that collapsed due to alleged fraud.
Argyle Funds is seeking compensatory damages of not less than $70.5 million and punitive damages of not less than $210 million against the BDO defendants and compensatory damages of at least $32.6 million, and punitive damages of at least $60 million against Schwartz.
“This action seeks to hold Defendants – entities that form one of the largest international auditing firms in the world – accountable for their failure to alert Argyle of egregious frauds carried out by two of Argyle’s independent credit advisors, resulting in Argyle’s loss of approximately $71 million – substantially all of Argyle’s assets – and the collapse of the fund,” it was stated in the complaint.
The defendants were accused of “gross negligence and/or intentional and fraudulent misconduct” when auditing Argyle's financial statements for 2010, 2011, 2012 and 2013 fiscal years.
- Fascinated
- Happy
- Sad
- Angry
- Bored
- Afraid