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MoKa Brings Two Cases Regarding Infinity Q Liquidation And Valuation Failures

Morris Kandinov LLP has filed two cases seeking to recover losses incurred by investors in the Infinity Q Diversified Alpha Fund (the “Fund”), a mutual fund that announced in early 2021 that it was liquidating because of extensive securities pricing errors that rendered its last reported net asset value (“NAV”) inaccurate.

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Guggenheim Directors Sued Over MLP Fund Flop (BoardIQ)

A shareholder of the Fiduciary/Claymore Energy Infrastructure Fund (FMO), a closed-end energy fund, has filed an action against the fund’s investment adviser, subadviser, and board of trustees in connection with the fund’s liquidity crisis in 2020 and subsequently announced merger with another closed-end fund.

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MoKa Files Suit On Behalf Of Shareholders Of Closed-End Fund FMO

Morris Kandinov LLP has filed a derivative suit on behalf of shareholders of the Fiduciary/Claymore Energy Infrastructure Fund (FMO) against the fund’s board of trustees and investment advisers. The case arises from the fund’s collapse after a liquidity crisis in early 2020 and the fund’s unexpected tax expenses disclosed thereafter.

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Ruling Shows That Boards Can’t (Always) Get Away With Doing Nothing

The Delaware Court of Chancery, in an October 2021 opinion, held that a board wrongfully refused a stockholder demand because it was “reasonable to infer that the directors just did not care about complying with the legal requirements of Delaware law.” The decision is a reminder to directors that their fiduciary duties do not permit them to cursorily refuse a legitimate stockholder demand, and a reminder to investors that they have meaningful legal options if a board refuses to remedy clear corporate misconduct.

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MoKa Files Derivative Suit Against Clover Health Over SPAC Omissions

Morris Kandinov LLP has filed a derivative complaint on behalf of a shareholder of Clover Health Investments, Corp. (CLOV) alleging, among other things, that the company concealed from investors, before going public through a SPAC, that the U.S. Department of Justice was actively investigating at least a dozen different matters relating to its business, which jeopardized the company’s ability to earn revenue through participation in the Medicare Advantage program.

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