Tuesday, August 28, 2007
Trusts representing creditors of defunct commodities firm Refco brought their third law suit against accounting and legal advisors. This one, filed in New York State, seeks more than $500 million in damages from Ernst & Young, Grant Thornton, law firm Mayer Brown, and Refco insiders. The complaint alleges that the advisers assisted the insiders in persuading foreign exchange customers to turn over their funds to the broker-dealer unit and then used the money in other operations. NYTimes, Refco Trusts Sue on Behalf of Currency Clients.