SEATTLE – On August 19, 2011, a district court judge granted final approval to a $100 million settlement between investors, Tremont Group Holdings and Tremont’s affiliates after the investors alleged Tremont neglected its fiduciary duties by turning capital over to Bernard Madoff Investment Securities.

The lawsuit, filed on December 23, 2008, in the United States District Court for the Southern District of New York, alleged that Tremont turned over $3.1 billion invested in its Rye Funds to Bernard Madoff, who was later implicated in a ponzi scheme in which investors reportedly lost billions. Several related complaints were filed and consolidated before the district court.

Despite turning over the funds, the consolidated complaint claimed that Tremont continued to receive management fees from clients and provided account statements that made it appear as though Tremont had oversight of clients’ capital.

“We are proud of this settlement,” said Steve Berman, managing partner of Hagens Berman and plaintiffs’ co-lead counsel in the case. “We feel that the investment companies breached fiduciary and professional duties to the funds and their investors, and as a result, the investors deserve compensation for their losses.”

The Final Judgment and Order of Dismissal with Prejudice Granting Settlement and the Order and Final Judgment Granting Plaintiffs’ State and Securities Law Settlement Class Counsels’ Motion for Award of Attorneys’ Fees can be downloaded at www.hbsslaw.com/cases/tremont.

Members of the class must submit a proof of claim form to take part in the settlement. The claim form must be postmarked no later than October 30, 2011. The form can be downloaded at www.hbsslaw.com/cases/tremont. Class members can also contact the firm at (206) 623-7292.

Additional monies may be recovered in connection with the Madoff Bankruptcy proceedings or through assignments of third party claims. The district court has not yet ruled on how recoveries will be allocated among interested investors.

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About Hagens Berman
Hagens Berman Sobol Shapiro LLP is a consumer-rights class-action law firm with offices in nine cities. The firm has been named to the National Law Journal’s Plaintiffs’ Hot List seven times. More about the law firm and its successes can be found at www.hbsslaw.com. Follow the firm for updates and news at @ClassActionLaw.

Contact
Ashley Klann
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206-268-9363