A lawsuit filed by Rush Simonson against Ken Griffin and Citadel has been dropped, according to the hedge fund. The suit, which alleged that Griffin had stolen a business plan that he and Simonson had developed together in the 80s, was voluntarily withdrawn by Simonson on January 17, without compensation for dropping it. Simonson’s lawyer had no comment about the withdrawal and Simonson himself “could not be located for comment,” according to Bloomberg. We’re kind of wondering why, just after Citadel posted gains of more than 30% (outpacing the hedge fund industry by 13%), Simonson would choose to drop his suit. Amidst the rumors that Citadel was the fund in the red, sure, we can see why you wouldn’t want to go to the trouble of getting dressed up for court just to be told the person you’re suing has no money, yes, that we get, but why now, when you know Griffin’s got the cash? Since Simonson (sketchily) “could not be located” to supply us with the answer, we’d like to hear your educated guesses. Did Simonson drop the suit because:
A.He was made to feel extremely uncomfortable by Griffin’s statement that:
``I have fond memories of my days in college when I would run back to my dorm room to execute trades on behalf of the partnerships we had formed…The filing of the lawsuit left me feeling betrayed by my former business partner.''
B.He remembered all the dirt Griffin had on him from college from that time at the Sigma Chi house when…well…you know….
C.Simonson finally stopped tweaking from all the coke they did while devising the plan “during the 80s” and realized Griffin hadn’t stole jack from him.
Citadel Investment, Griffin Say Lawsuit Is Dropped [Bloomberg]