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YieldStreet Wins $77 Million From Family It Accused of Fraud (1)

Oct. 6, 2020, 3:08 PM

YieldStreet Inc., the online firm that offers esoteric investments to rich individuals, received a $77 million court judgment against a shipping family it says defrauded the company and investors.

The judgment, handed down in U.K. court Monday, allows YieldStreet to collect against personal guarantees made by members of the Lakhani family when they obtained around $89 million of marine finance loans that eventually defaulted.

YieldStreet had made loans to companies owned by the Lakhanis to help fund ship recycling projects, and subsequently offered securities linked to the debt on its site. The investments ultimately stopped paying interest and principal, ...