Investment firm accuses Perkins Coie of helping money manager allegedly siphon $12M
https://cookcountyrecord.com/stories/648919314-investment-firm-accuses-perkins-coie-of-helping-money-manager-allegedly-siphon-12m
A Chicago investment firm has demanded prominent big law firm Perkins Coie pay more than $12 million for allegedly helping an advisory firm siphon off millions of dollars through allegedly unauthorized withdrawals as the relationship between the money managers allegedly soured.
On Aug. 16, S-R Investments LLC filed suit in Cook County Circuit Court against Perkins Coie, alleging counts of fraud and breach of fiduciary duty against the law firm.
S-R Investments is represented in the case by attorney Caesar A. Tabet, and others from the firm of Tabet Divito & Rothstein, of Chicago.
The lawsuit represents an expansion of a long-running court fight following the end of the business relationship between S-R Investments and Chicago-based advisor and management firm, Stevard LLC.
SRI and Stevard have been in court against each other since 2021. In that separate action, Stevard claimed SRI owed it millions of dollars in unpaid profit shares and fees it said it earned managing SRI’s investments.
SRI, however, fired back, claiming Stevard had improperly withdrawn $12 million from SRI’s bank accounts in late 2020, allegedly after Stevard began to believe SRI would terminate its contract.
An Illinois state court ordered the $12 million placed in a constructive trust in 2022. Stevard was unable to undo that ruling on appeal, with an appellate court ruling in early 2023 that it lacked jurisdiction under court procedural rules to review the orders.
Now, SRI is asking a Cook County court to also order Perkins Coie to pay up, as the investment firm is accusing the law firm of allegedly aiding Stevard’s allegedly improper withdrawals.