September 26, 2005
U.S. settles antitrust charges with fund manager
WASHINGTON (Reuters) - A Connecticut hedge fund manager has
agreed to pay $350,000 to settle charges that he violated
pre-merger reporting requirements in acquiring substantial
stakes in two companies, the U.S. Department of Justice said on
A civil complaint by the department's Antitrust Division
charged that Scott Sacane of South Norwalk, Connecticut, failed
to apply for antitrust clearance for the investments made in
2003 through the Durus Life Science Master Fund that he
Sacane ultimately held more than 50 percent of the voting
securities of Aksys Ltd., a firm specializing in treating
kidney failure and more than $100 million of voting securities
of Esperion Therapeutics Inc., a cholesterol therapy company
since acquired by Pfizer Inc., the government charged.
The Justice Department filed the complaint in U.S. District
Court in Washington, D.C. at the request of the Federal Trade
Efforts to reach Sacane were not immediately successful.
The Hart-Scott-Rodino Act of 1976 imposes notification and
waiting period requirements on individuals and companies over a
certain size that must be satisfied before they can consummate
acquisitions of stock or assets above a certain value.
The value was $50 million at the time of the alleged
violations and is now adjusted annually to reflect changes in
gross national product, the Justice Department said.