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Apollo Global Sorry It Sometimes Charged Clients Millions Just For The Hell Of It

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Or, more specifically, charged millions in fees for things it thought about doing and then never did, which seemed like a great idea at the time.

Apollo Global Management LLC agreed to pay $52.8 million to settle Securities and Exchange Commission charges over its fee practices, the largest settlement to date by a private-equity firm in the agency’s broad examination of the industry. The SEC in its Tuesday announcement charged New York-based Apollo with failing to sufficiently disclose to its fund investors that it planned to collect large one-time fees from companies it sold or took public. These “monitoring termination” fees, widespread in the industry for many years, allowed big buyout firms in some cases to collect tens of millions of dollars for services they didn’t actually perform.

Apollo to Pay $52.8 Million for Misleading Fund Investors [WSJ]