Biden's son in fund suit
BIDEN'S SON IN FUND SUIT
By KAJA WHITEHOUSE
Posted: 4:35 am
August 31, 2008
Hedge fund executive Hunter Biden has had anything but a quiet introduction to his career in finance.
The 38-year-old son of Democratic vice presidential candidate Sen. Joe Biden is caught up in several lawsuits regarding the acquisition and operation of Paradigm Companies, an investment firm that operates a fund of funds - a hedge fund that invests in other hedge funds.
Biden also appears to be feuding with partner James Park, the son-in-law of the Rev. Sun Myoung Moon, Court papers show.
Biden, also a Washington lobbyist, took control of Paradigm in August 2006 and was, for a brief period, its president - getting paid $1.2 million a year despite no experience in the sector, according to charges in one of the suits.
Months later, Anthony Lotito, a consultant, sued Biden, James Biden, his uncle, and Paradigm for allegedly cheating Lotito out of fees related to the purchase. Biden has denied the charges and the suit is awaiting trial.
Biden was also sued by a former Paradigm executive over alleged unpaid compensation.
It was in the Lotito suit that Hunter Biden took a swipe at Park.
Biden, in a counter-claim against Lotito, charged the consultant with failing to inform him that Park had a drug problem.
Park, a Paradigm founder and chief investment officer, "used illegal substances on a regular basis," and was an "absentee manager," it is alleged in court papers.
The Washington lobbyist also claimed in court papers that he and his uncle only agreed to work with Park after "[Park] completed rehabilitation in Florida."
Biden never provided any proof of the allegation and the counter-claim was dismissed.
Park didn't return requests for confirmation.--
Damian J. Anderson
PO Box 86118
Montgomery Village, MD 20886-6118
When I do good, I feel good; when I do bad, I feel bad, and that is my religion.
- Abraham Lincoln