Fund manager overvalued funds by over $1B; SEC settled with its auditor in 2026
Infinity Q Capital Management LLC · Investment management
The case in brief
Visible before detection
Checks that could have surfaced it, on hindsight
Third-party confirmation
Independent counterparty quotes would show prices far below the reported values.
Can mislead when: Counterparties can collude or ignore requests. A non-response is logged as a gap, never as a pass.
Document authenticity / direct pull
Pulling term sheets direct from counterparties would expose forged copies.
Can mislead when: The company can refuse consent, and a refusal is itself a flag. Some banks and co-op banks are not on AA yet.
Books edit log
The pricing service log would show manual changes to inputs and code.
Can mislead when: Logs can be disabled at database level (auditors qualified this in year one) or tampered with on export. Kubr needs the company to cooperate.
Where Kubr services would have helped
Financial diligence
Offered in India- C5 Pulling term sheets direct from counterparties would expose forged copies.
- C12 The pricing service log would show manual changes to inputs and code.
Valuation context
Offered in India- Peer multiples and the exit-multiple bridge would have shown how much of the story relied on valuation holding.
IC note
Offered in India- C5 Pulling term sheets direct from counterparties would expose forged copies.
Mapped from the checks each service runs. A hindsight reading of public records, not a promise that the failure would have been found.
Same pattern
A summary of public documents. It reports what the sources say. It is not Kubr's finding and not a statement of guilt.