Lynn Tilton Loses Round One In U.S. District Court, Will Face SEC Tribunal

Hedge fund manager Lynn Tilton will not get her day in a U.S. judicial court, but the case accusing her of defrauding investors will be decided by a U.S. Securities and Exchange administrative law judge, a U.S. district court ruled Tuesday.

Lynn Tilton to face SEC Administrative Law Judge

As previously reported in ValueWalk, Lynn Tilton’s Patriarch Partners stands accused of misreporting performance and collecting nearly $200 million in misbegotten fees, an SEC complaint charged. The SEC is attempting to maneuver the trial to take place through its administrative legal process, which Tilton had fought.

U.S. District Judge Ronnie Abrams in Manhattan ruled Tuesday that Congress had designated the SEC as “exclusive...