Labor & Employment Law

State Pension Fund seeks damages and reimbursement of fees from Aldus Equity partners and its principals

State Pension Fund seeks damages and reimbursement of fees from Aldus Equity partners and its principals

Source: Office of the State Comptroller

On May 6, 2009, New York State Comptroller Thomas P. DiNapoli announced that, as Sole Trustee of the New York State Common Retirement Fund, frequently referred to as The New York State Public Employees? Retirement System or ERS, he had filed a lawsuit against Aldus Equity Partners LP, its principals, and others for wrongful conduct, including various acts of fraud, bribery, breach of contract, and conspiracy.

DiNapoli seeks, among other things, rescission of the contract with Aldus, reimbursement of more than $5 million in fees paid, and other compensatory and punitive damages.

The Comptrollers said that the Retirement System had terminated its relationship with Aldus last week.

This lawsuit ?is the next step to unravel the tangled web of misconduct we inherited from the Hevesi administration,? DiNapoli said.

DiNapoli said he will continue to explore his legal rights and options as Trustee with regard to other participants in the alleged pay-to-play scheme and he noted that further legal action against others remains a possibility.

The 32-page complaint filed against Aldus and its principals by the Comptroller in Supreme Court, Albany County is posted on the Internet at:

http://www.osc.state.ny.us/press/releases/may09/050609a_att.pdf

Full post as published by New York Public Personnel Law on May 07, 2009 (boomark / email).