Monday, September 30, 2013

CapAsia CEO Bastin Sued for Defamation in Singapore

CapAsia’s founding chief executive

officer Vijay Sethu sued Johan Bastin, his successor at the

Rohatyn Group-owned private equity firm in Singapore, claiming

Bastin impugned him by suggesting he was front-running a deal.


Sethu is seeking unspecified damages for defamation and a

restraining order against Bastin to stop him from making any

further disparaging comments, according to a lawsuit filed in

Singapore High Court. Bastin has denied the allegations.


Bastin told three people that Sethu personally bought debt

that he had recommended to a company where he was a board member

and in which a CapAsia fund had invested, according to the court

filing. Bastin as a result suggested Sethu traded with advance

knowledge about a deal, known as front-running, which is illegal

and unethical, Sethu alleged.


A pre-trial hearing is scheduled for today.


“Our client’s position is that the lawsuit is entirely

without merit,” Bastin’s lawyers Hri Kumar and Shivani Retnam

said in an e-mail.


The lawsuit was filed with the “ulterior motive” of

harassment, rather than to protect Sethu’s reputation, Bastin,

who replaced Sethu as CEO in 2009, said in his defense filing.


“My client is very confident in the Singapore legal system

and that the merits of his case will be proved at trial,”

Sethu’s lawyer Edmund Kronenburg said.


Sethu, after being replaced as CEO, remained at CapAsia as

the head of one of its funds and later as a consultant before

leaving in November.


$400 Million


CapAsia manages $400 million in assets across three funds,

according to its website. The firm is owned by New York-based

Rohatyn, an emerging markets asset manager founded by former

JPMorgan Chase Co. bankers, and Malaysia’s CIMB Group Holdings

Bhd. (CIMB)
CapAsia is the brand name for Capital Advisors Partners

(Asia) and was originally a venture between CIMB and South

Africa
’s Standard Bank Group.


Rohatyn said this month it will buy Citigroup Inc.’s

emerging-markets private-equity unit. The combined firm, dubbed

TRG, will have more than $7 billion in assets, including about

$6 billion in private equity, according to a joint statement.


The case is Vijay Vijendra Sethu v Johan Frans Jozef Maria

Bastin, S612/2013. Singapore High Court.


To contact the reporter on this story:

Andrea Tan in Singapore at

atan17@bloomberg.net


To contact the editor responsible for this story:

Douglas Wong at

dwong19@bloomberg.net



CapAsia CEO Bastin Sued for Defamation in Singapore

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