Photo Sharing and Video Hosting at Photobucket When the giant hedge fund Amaranth imploded in late September 2006 in the largest hedge fund failure ever, it made the front page of the Wall Street Journal (here, subscription required). Amaranth lost more than $6 billion after the natural gas bet of one of its traders, Brian Hunter, took a severely wrong

In a prior post (here), The D & O Diary commented on “Private Money and D & O Risk,” noting the heightened potential for disputes to arise when the new “power players” (private equity funds, hedge funds, and buyout firms) have interests that conflict with those of management, other investors or creditors. An