Suit Says Law Firm 'Opinion Mill' Aided Attorney Marc Dreier's $700M Fraud
Two subsidiaries of the Fortress Investment Group LLC hedge fund say they lost $50 million by relying on “false legal opinion letters” that helped now ex-attorney and convicted swindler Marc Drier orchestrate a $700 million swindle.
They have sued Ruskin Moscou Faltischek of Uniondale, N.Y., in state court seeking to recoup, reports the Wall Street Journal (sub. req.), contending in the litigation that the firm “simply acted as an ‘opinion mill’ for Dreier, providing him with on-demand legal opinion letters that helped propel and perpetuate his Ponzi scheme.”
A spokeswoman for the Ruskin firm describes the suit as “baseless” and says it expects “complete vindication.”
Dreier, who is now 60, used the money to fund the New York law firm formerly operated under his name and a lavish lifestyle, as detailed in earlier ABAJournal.com posts. He is serving a 20-year federal prison term.
The hedge fund earlier filed a similar suit against Dechert, which has denied wrongdoing and is seeking a dismissal.
