PROSPECT CAPITAL CORP. v. LATHEN

Index No. 156375/14. Appeal No. 13255. Case No. 2020-01415.

192 A.D.3d 436 (2021)

144 N.Y.S.3d 14

2021 NY Slip Op 01341

Prospect Capital Corporation, Respondent, v. Donald Lathen, Jr., et al., Appellants.

Appellate Division of the Supreme Court of New York, First Department.

Decided March 4, 2021.


Attorney(s) appearing for the Case

The Galbraith Law Firm, New York ( Kevin D. Galbraith of counsel), for appellants.

Adam M. Burton , New York, for respondent.

Concur—Kern, J.P., Oing, Singh, Moulton, JJ.


Plaintiff Prospect Capital Corporation is a publicly traded closed-end investment company. Defendant Donald Lathen, Jr. (Lathen) is the founder and controlling person of defendants Eden Arc Capital Management LLC (EACM) and Eden Arc Capital Partners LP (EACP); defendant David Jungbauer (Jungbauer) is Lathen's stepfather.

Plaintiff alleges in its complaint that Lathen, through EACM and EACP, created the "EndCare Scheme" in March 2009, which profited from the deaths...

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