Fintech SS&C Sued

Note from the Publisher:  According to their website, “SS&C is a leading cloud-based provider of services and software for the global financial services industry.”  They have a full suite of interesting products directed at the financial category, including their hedge fund administration, and that’s what got them in a heap ‘o trouble with one fund manager, who is suing them for gross negligence after losing funds through a Chinese hack.  We mention them because they are a regular on any major list of fintech companies, including the Nasdaq/KBW KFTX Index, which FinkekNews tracks daily. 

“Commodity hedge fund Tillage Commodities Fund has sued fund administrator SS&C Technologies over its alleged incompetence, gross negligence, collusion or a good faith mistake that allowed Chinese hackers to steal almost $6m from its account.

Tillage said that the crime, committed through fake emails sent by the hackers to company staffers in order to trick them into releasing client money, was so amateurish that the $6bn Wall Street technology firm could had easily detected, reported FinOps.

Now the commodities fund manager is suing SS&C Technologies as its fund administrator in a New York court and is seeking more than $10m in damages for allegedly repeatedly ignoring its own protocol and deceiving clients into believing that it has adequate technology to prevent any cybersecurity breach.

Since the theft, Tillage fund, which started operations in 2012, has ceased operations.”

Read Full Article at Opalesque (may require subscription)