Aramid Entertainment Fund Files for Bankruptcy Over Suits
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Aramid Entertainment Fund Ltd., a hedge fund specializing in financing movies, sought bankruptcy court protection from creditors to deal with the costs of suing borrowers who failed to repay loans.
Aramid “has been embroiled in substantial and time-consuming litigation relating to some of its investments,” Geoffrey Varga, a consultant helping to liquidate the fund, said in court filings. “The prosecution and defense of these actions has consumed a substantial portion of AEF’s liquidity and exposes it to potential liability.”