Philip Falcone’s Harbinger Capital May Be Sued By SEC

Philip Falcone’s Harbinger Capital Partners received a notification from SEC that it may be sued for its intent to halt investor withdraws for the end of year.

The government alleges that Philip Falcone, Omar Asali and Robin Roger violated federal securities laws’ anti-fraud provisions.  The regulator will look into the issues “regarding the circumstances and disclosure related to agreements with certain fund investors.” according to Harbinger’s filing.

According to Bloomberg, earlier this year, Falcone’s hedge fund was investigated by the SEC and the U.S. Attorney’s office over its $113 million loan to founder Falcone and possible preferential treatment of some investors.