Beasley Allen is reviewing potential cases regarding securities fraud against Tremont Group Holdings, Inc., Tremont Partners, Inc., Rye Investment Management, Oppenheimer Acquisition Corporation, OppenheimerFunds, Inc., Massachusetts Mutual Life Insurance Company, and KPMG, L.L.P for breach of professional and fiduciary duties by Tremont in managing client money.
The funds were turned over to Bernard Madoff of Madoff Investment Securities, Inc. who used clients’ capital in a massive fraudulent scheme. Tremont, and the other companies, failed to perform proper due diligence and failed to exercise due care in managing client investments and specifically concealed from investors the fact that Tremont was not actively overseeing and safeguarding client investments.
Clients invested roughly $3.1 billion with or through Tremont’s Rye Investment Management Funds, all of which was given to Madoff. Clients paid substantial investment advisor fees to Tremont in connection the investments. These fees were paid so that Tremont would choose suitable investment managers, diversify clients’ investment portfolios, follow a professional investment strategy and continually monitor clients’ investments to avoid frauds and any unnecessary investment risks.
The plaintiffs allege that Tremont unlawfully and deceptively failed in their oversight of clients’ investments and that Tremont passed most of these duties on to Madoff without any oversight or safeguards in place. The Madoff scandal has resulted in losses to clients of over $50 billion in what is being referred to as the largest investment scandal in United States history.
Beasley Allen is currently reviewing claims against Tremont on behalf of investors. Please contact us today for a free case review.