Einhorn Drops Lawsuit After Discovering Blogger’s ID

March 25, 2014 James Heinsman In the News

Head of Greenlight Capital, David Einhorn, has decided to drop the lawsuit he filed to unearth the name of the Seeking Alpha blogger who revealed his fund’s stock positions in advance of a public announcement.

Greenlight announced that it “has resolved the matter privately to our satisfaction,” but did not name the indiscreet blogger. Einhorn spokesperson Jonathan Gasthalter did not comment further.

How Einhorn unmasked the blogger remains a mystery, and whether Greenlight will take any further action against “Valuable Insights,” the blogger’s pen name, is still unknown.

Director of contributor success at Seeking Alpha, Colin Lokey, stated on their website that they did not give Greenlight the name of the blogger. He added that his website is supports their contributors rights to remain anonymous if they so choose.

“Greenlight dropped the suit of its own accord,” said Mr. Lokey. “We did not at any time disclose the author’s identity formally or informally, and at no time were our actions dictated by reaching a deal with Greenlight.”

A lawyer for Seeking Alpha, David Korzenik, confirmed Lokey’s position. He said that they did not make any deals with Greenlight, explaining that there was absolutely “no disclosure” to the hedge fund.

A hearing was supposed to take place on April 1 in New York State Court to decide if Seeking Alpha could be forced to reveal the name of “Valuable Insights.” Greenlight made the claim that the blogger’s post had disrupted the hedge fund’s strategy of buying shares of Micron Technology.

Colin Lokey, David Einhorn, David Korzenik, Greenlight Capital, Seeking Alpha,

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