Tuesday, January 12, 2010
According to Business Week, Wesleyan University is suing its former Chief Investment officer, Thomas Kannam, for fraud and breach of contract. Kannam allegedly formed his own hedge funds while working for Wesleyan. According to the Business Week report, Wesleyan is alleging that Kannam used Wesleyan resources to pursue his own entrepreneurial ventures. He also allegedly made use of information available to him because of his position at Wesleyan for purposes of private gain.
My attempts to find a copy of the complaint online were unavailing. I was especially interested in doing so because the facts as reported do not make especially clear why the suit would sound in breach of contract and fraud rather than in breach of fiduciary duty. We will try to provide updates if they arise.