US buyout group Carlyle has decided to stop using placement agents to solicit money from public pension funds after the indictment of a New York state political figure to whom it paid $12m in finder’s fees. The policy change is the latest fallout from a probe by the SEC and New York’s attorney-general into alleged kickbacks paid to secure money from New York’s $105bn Common Retirement Fund. The case has involved several private equity and hedge fund managers and raised questions about the means they use to gain assignments from public pension funds.

This entry was posted by Gwen Robinson on Monday, April 20th, 2009 at 4:54 and is filed under Capital markets, M&A, Private equity. Tagged with carlyle. Edit this entry.