Kingstown Hedge Fund’s $3 Billion Fraud Suit Dismissed by Judge

Czech property billionaire Radovan Vitek and his company won dismissal of a lawsuit by New York hedge fund Kingstown Capital Management that accused him of a $1 billion fraud.

Last year, Kingstown sued Vitek and his CPI Property Group, the largest commercial landlord in Berlin, seeking more than $1 billion in damages, which can be tripled under the U.S. civil racketeering law. But on Friday, U.S. District Judge Denise Cote in Manhattan threw out the claim, saying it duplicates an earlier case that has been pending in a Luxembourg court since 2015.

The suit by Kingstown involves “conduct affecting a ...