Hedge Fund Priest Must Face SEC ‘Short-and-Distort’ Allegations

An ordained Greek Orthodox priest who also works as a hedge fund manager and is facing SEC allegations of a “short-and-distort” scheme failed to convince a federal judge in Massachusetts to give him an early win against the agency.

Emmanuel Lemelson and his firm Lemelson Capital Management LLC allegedly made misleading public statements about Ligand Pharmaceuticals Inc., a company they had a short position in. They aren’t entitled to summary judgment because the Securities and Exchange Commission’s allegations and evidence are sufficient for the case to go to trial, the U.S. District Court for the District of Massachusetts said. ...