Overview
Bates White consultants provide expertise in highly complex matters relating to the alternative investment management industry, including hedge funds, private equity, venture capital, and related service providers. Our consultants leverage decades of substantive, real-world experience, in combination with deep expertise in finance, business and securities valuation, accounting, data analysis, and fraud investigations, to provide exemplary consulting and testifying services.
Our clients include hedge funds, private equity and venture capital firms, investors, financial institutions, service providers, fiduciaries, and regulators. Both prosecution and defense clients have retained us to address a wide array of topics, including industry custom and practice, market manipulation, fiduciary obligations, the valuation of illiquid and bespoke investments, related party transactions, disclosures, seed capital arrangements, employment compensation disputes, damages determination, and fraud investigations.
We also have extensive experience providing Securities and Exchange Commission (SEC)–related litigation support. We offer expertise in enforcement actions on issues relating to investment adviser fiduciary duty, disclosures, and conflicts of interest.
Our areas of focus include:
- Investment strategy
- Valuation of firms, businesses, investments, and unconventional assets
- Cryptocurrency, securitized products, and derivatives
- Markets and trading
- Fees and expenses, including carried interest waterfall calculations
- Fraud, misappropriation of assets and Ponzi-like schemes
- Performance attribution and employment/compensation disputes
SELECTED WORK
- US Securities and Exchange Commission v. Dean Patrick McDermott et al.—Testimony before the US District Court for the Eastern District of Pennsylvania on behalf of the SEC. The SEC accused investment advisory firm McDermott Investment Advisors of breaching fiduciary duties owed to its advisory clients. The jury ruled in favor of the SEC.
- US Securities and Exchange Commission v. Ambassador Advisors et al.—In an investment adviser matter in which the SEC accused Ambassador Advisors of breaching fiduciary duties and failing to adopt and implement written policies and procedures, testimony before the US District Court for the Eastern District of Pennsylvania as an expert in investment industry practices and customs. The jury ruled in favor of the SEC and found the defendants guilty of investment advisory fraud.
- Houston American Energy Corp. public filings analysis—On behalf of the SEC, evaluated the materiality of several alleged misrepresentations that HUSA made in its public filings regarding its Colombian oil wells. Submitted affirmative and rebuttal expert reports.
- Kentucky Retirement Systems v. BHEP GP I, LLC, et al.—Expert retained litigation relating to a dispute between the manager of a private equity fund-of-funds and a public retirement system that sought remedies related to alleged mismanagement of the funds.
