The news that Citadel Investment Group, a $14 billion hedge fund, had purchased $500 million of Sentinel Management Group’s distressed portfolio didn’t bring the joy the firm perhaps thought it would. Penson GHCO, a futures commission merchant, has demanded that the sale be reversed due to the loss Sentinel clients, thus Penson, would take. “Should the sale not be reversed,” a Penson press released stated, “based on what we currently know, we anticipate incurring a potential one-time after-tax loss of approximately $6.5 million on the Sentinel Investment.”
