GEROVA Financial Group, Ltd. hit by Lawsuit by former Stillwater Funds Investors

March 28, 2011 - PRLog -- An investor filed a lawsuit in the U.S. District Court for the Eastern District of New York on behalf of investors who exchanged their Stillwater Funds investments for shares of GEROVA Financial Group, Ltd.  in a share exchange transaction on January 20, 2010.

If you exchanged your Stillwater Funds investments for shares of GEROVA Financial Group, Ltd.  in a share exchange transaction on January 20, 2010, you have certain options and there are strict and short deadlines running. Deadline: May 24, 2011. Those former Stillwater Funds investors, should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.

According to the complaint the plaintiff alleges behalf of investors who exchanged the following Stillwater Funds investments for shares of GEROVA Financial Group, Ltd.  in the share exchange transaction on January 20, 2010 that Stillwater Capital Partners, Gerova Financial Group LtD and certain of their current and former officers and directors violated Federal securities laws and breached fiduciary duties by failing to disclose material adverse facts, including related party transactions, in connection with the Share Exchange, resulting in substantial losses for Stillwater Funds' investors.

The Stillwater Funds included in the lawsuit are:

Stillwater Asset Backed Fund, , LP,
Stillwater Asset Backed Fund II, LP, a Delaware Partnership
Stillwater Real Estate Fund, LP, a Delaware Partnership
Stillwater WPB Venture Partners, LP, a Delaware Partnership
Stillwater WPB Venture Partners II, LP, a Delaware Partnership
Stillwater Market Neutral Fund, LP, a Delaware Partnership
Stillwater Market Neutral Fund II, LP, a Delaware Partnership
Stillwater Market Neutral Fund III, a Cayman Islands exempted company
Stillwater Matrix Fund, LP, a Delaware Partnership
Stillwater Loan Opportunities Fund LLC, a Delaware Partnership
Stillwater Loan Opportunities Fund SPC, a Cayman Islands exempted company
Stillwater Asset-Backed Offshore Fund, a Cayman Islands exempted company
Stillwater Asset-Backed Fund SPV, A Cayman Islands exempted company
Stillwater Asset-Backed Fund II Onshore SPV, a Cayman Islands exempted company
Stillwater Trade Capital, LLC

On Feb 10, 2011, GEROVA Financial Group announced a reorganization of its board of directors and the management of Gerova Financial Group.  It said it also accepted the resignation of four of the members of its board of directors, its Chairman and President.

Then on February 23, 2011, the New York Stock Exchange (NYSE) announced in a press release that it has suspended trading in GEROVA Financial Group, Ltd. securities following “recent events at and public disclosures by the Company,” and that the NYSE is “evaluating both the need for further disclosure, as well as the overall suitability for continued listing of the Company’s securities.” Shares of GEROVA Financial Group, Ltd.  traded during December 2010 as high as $30 per share and fell until February 23 to $5.28 per share when the NYSE halted trading for GFC shares.
Those who exchanged their Stillwater Funds investments for shares of GEROVA Financial Group, Ltd.  in a share exchange transaction on January 20, 2010, have certain options and there are strict and short deadlines running. Deadline: May 24, 2011. Those former Stillwater Funds investors, should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.

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