Anwar et al v. Fairfield Greenwich Limited et al

Filing 535

ANSWER to Amended Complaint. Document filed by Citco Fund Services (Bermuda) Limited. Related document: #273 Amended Complaint,,,,,,,, filed by 20/20 Investments, Centro Inspection Agency, Kishanchand Bhatia, Omawa Investment Corporation, Harel Investment and Financial Services Ltd., Mandakini Gajaria, AXA Private Management, Bonaire Limited, Inter-Amrerican Trust, Shimon Laor, Gopal Bhatia, Loana Ltd., Jitendra Bhatia, St. Stephen's School, Diversified Investments Associates Class A Units, Jayshree Bhatia, Landville Capital Management S.A., Harvest Dawn International Inc., Morning Mist Holdings Limited, Miguel Lomeli, Banco General, S.A., Ronit Zohar, Pasha S. Anwar, Carmel Ventures Ltd., Traconcorp, Nadav Zohar, Carlos Gauch, El Prado Trading, Kalandar International, Wall Street Securities, S.A., Robert Blum, ABR Capital Fixed Option/Income Strategic Fund LP, Blythel Associated Corp., Julia Anwar, ABN AMRO LIFE S.A., Marrekesh Resources, Elvira 1950 Trust.(Brown, Lewis)

Anwar et al v. Fairfield Greenwich Limited et al

Doc. 535

UNITED STATES DISTRICT COURT SOUTHERN DISTRICT OF NEW YORK ---------------------------------------------------------------x ANWAR, et al., Plaintiffs, -againstFAIRFIELD GREENWICH LIMITED, et al., Defendants. This Document Relates To: All Actions --------------------------------------------------------------x ANSWER AND AFFIRMATIVE DEFENSES OF DEFENDANT CITCO FUND SERVICES (BERMUDA) LIMITED Defendant Citco Fund Services (Bermuda) Limited ("CFSB"), by and through undersigned counsel, hereby files this Answer and Affirmative Defenses to the Second Consolidated Amended Complaint ("SCAC"). 1. 2. 3. 4. 5. CFSB denies the allegations set forth in paragraph 1 of the SCAC. CFSB denies the allegations set forth in paragraph 2 of the SCAC. CFSB denies the allegations set forth in paragraph 3 of the SCAC. CFSB denies the allegations set forth in paragraph 4 of the SCAC. CFSB admits only that at least one plaintiff is a citizen of a foreign state. CFSB MASTER FILE NO. 09-CV-0118 (VM)

denies the remaining allegations set forth in paragraph 5 of the SCAC. 6. 7. 8. CFSB denies the allegations set forth in paragraph 6 of the SCAC. CFSB denies the allegations set forth in paragraph 7 of the SCAC. CFSB denies the allegations set forth in paragraph 8 of the SCAC.

Dockets.Justia.com

1. - 116.1

CFSB is without sufficient knowledge or information to form a belief as to

the truth of the allegations set forth in paragraphs 1 through 116 of the SCAC, and therefore denies same. 117. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 117 of the SCAC, and therefore denies same. 118. CFSB admits only that FGL is a company incorporated under the laws of the

Cayman Islands and that FGL served as Placement Agent for Fairfield Sentry and Fairfield Sigma, Investment Manager of Fairfield Sentry, and was the General Partner of Greenwich Sentry. CFSB is without sufficient knowledge or information to form a belief as to the truth of the remaining allegations set forth in paragraph 118 of the SCAC, and therefore denies same. 119. CFSB admits only that FGBL is a corporation organized under the laws of

Bermuda and that FGBL served as Investment Manager and Investment Advisor for Fairfield Sigma and was the General Partner of Greenwich Sentry and Greenwich Sentry Partners. CFSB denies that "Citco" (as that term is defined in the SCAC) calculated the monthly NAV. CFSB is without sufficient knowledge or information to form a belief as to the truth of the remaining allegations set forth in paragraph 119 of the SCAC, and therefore denies same. 120. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 120 of the SCAC, and therefore denies same. 121. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 121 of the SCAC, and therefore denies same. 122. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 122 of the SCAC, and therefore denies same.
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On page 4 of the SCAC, plaintiffs have restarted the numbering of the paragraphs of the SCAC from number 1. 2

123.

CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 123 of the SCAC, and therefore denies same. 124. CFSB admits only that Walter M. Noel, Jr. was a director of Fairfield Sentry and

Fairfield Sigma. CFSB is without sufficient knowledge or information to form a belief as to the truth of the remaining allegations set forth in paragraph 124 of the SCAC, and therefore denies same. 125. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 125 of the SCAC, and therefore denies same. 126. CFSB admits only that Andres Piedrahita is a Director and President of FGBL.

CFSB is without sufficient knowledge or information to form a belief as to the truth of the remaining allegations set forth in paragraph 126 of the SCAC, and therefore denies same. 127. CFSB admits only that Amit Vijayvergiya was President of FGBL. CFSB is

without sufficient knowledge or information to form a belief as to the truth of the remaining allegations set forth in paragraph 127 of the SCAC, and therefore denies same. 128. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 128 of the SCAC, and therefore denies same. 129. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 129 of the SCAC, and therefore denies same. 130. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 130 of the SCAC, and therefore denies same. 131. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 131 of the SCAC, and therefore denies same.

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132.

CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 132 of the SCAC, and therefore denies same. 133. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 133 of the SCAC, and therefore denies same. 134. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 134 of the SCAC, and therefore denies same. 135. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 135 of the SCAC, and therefore denies same. 136. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 136 of the SCAC, and therefore denies same. 137. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 137 of the SCAC, and therefore denies same. 138. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 138 of the SCAC, and therefore denies same. 139. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 139 of the SCAC, and therefore denies same. 140. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 140 of the SCAC, and therefore denies same. 141. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 141 of the SCAC, and therefore denies same. 142. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 142 of the SCAC, and therefore denies same.

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143.

CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 143 of the SCAC, and therefore denies same. 144. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 144 of the SCAC, and therefore denies same. 145. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 145 of the SCAC, and therefore denies same. 146. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 146 of the SCAC, and therefore denies same. 147. Paragraph 147 contains no allegations of fact, and therefore no response is

required. To the extent that a response is deemed to be required, CFSB denies the allegations set forth in paragraph 147 of the SCAC. 148. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 148 of the SCAC, and therefore denies same. 149. 150. CFSB denies the allegations set forth in paragraph 149 of the SCAC. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 150 of the SCAC, and therefore denies same. 151. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 151 of the SCAC, and therefore denies same. 152. Paragraph 152 contains no allegations of fact, and therefore no response is

required. To the extent that a response is deemed to be required, CFSB denies the allegations set forth in paragraph 152 of the SCAC. 153. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 153 of the SCAC, and therefore denies same.

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154.

CFSB admits only that PwC Canada was the auditor for the Funds. CFSB is

without sufficient knowledge or information to form a belief as to the truth of the remaining allegations set forth in paragraph 154 of the SCAC, and therefore denies same. 155. CFSB admits only that PwC Netherlands was the auditor for Fairfield Sentry,

Fairfield Sigma and Greenwich Sentry. CFSB is without sufficient knowledge or information to form a belief as to the truth of the remaining allegations set forth in paragraph 155 of the SCAC, and therefore denies same. 156. 157. CFSB denies the allegations set forth in paragraph 156 of the SCAC. CFSB admits only that Citco Fund Services (Europe) B.V. ("CFSE") is

incorporated in The Netherlands, that CFSE served as administrator, registrar, and transfer agent for Fairfield Sentry and Fairfield Sigma and that CFSE served as administrator for Greenwich Sentry and Greenwich Sentry Partners. CFSB denies plaintiffs' characterizations of CFSE's responsibilities to the extent that they exceed the scope of or are inconsistent with the Administration Agreements that govern the respective relationships between CFSE and the Funds.2 CFSB denies the remaining allegations set forth in paragraph 157 of the SCAC. 158. CFSB admits only that Citco (Canada) Inc. ("CCI") is a corporation organized

under the laws of Canada with its principal place of business in Toronto, Ontario and that CFSE delegated to CCI certain administrative responsibilities subject to the terms and conditions of the Administration Agreements. CFSB denies plaintiffs' characterizations of CCI's responsibilities to the extent that they exceed the scope of or are inconsistent with the Administration CFSE entered into agreements titled "Administration Agreement" with Fairfield Sentry, Fairfield Sigma, Greenwich Sentry, and Greenwich Sentry Partners including as follows: Fairfield Sigma Administration Agreement, dated February 20, 2003; Fairfield Sentry Administration Agreement, dated February 20, 2003; Greenwich Sentry Administration Agreement, dated August 10, 2006; Greenwich Sentry Partners Administration Agreement, dated August 10, 2006. Such agreements are referred to as the "Administration Agreements." 6
2

Agreements that govern the respective relationships between CCI and the Funds. CFSB denies the remaining allegations set forth in paragraph 158 of the SCAC. 159. CFSB admits only that Citco Global Custody N.V. ("CGC") is incorporated in

The Netherlands and that CGC has served as custodian and depository for Fairfield Sentry and as custodian for Fairfield Sigma. CFSB denies plaintiffs' characterizations of CGC's responsibilities to the extent that they exceed the scope of or are inconsistent with the Custodian Agreements that govern the respective relationships between CGC and Fairfield Sentry and Fairfield Sigma.3 CFSB denies the remaining allegations set forth in paragraph 159 of the SCAC. 160. CFSB admits only that Citco Bank Nederland N.V. Dublin Branch ("CBN") is

incorporated in The Netherlands and that CBN has served as bank and custodian for Fairfield Sentry and as bank for Fairfield Sigma. CFSB denies plaintiffs' characterizations of CBN's responsibilities to the extent that they exceed the scope of or are inconsistent with the Custodian Agreements that govern the respective relationships between CBN and Fairfield Sentry and Fairfield Sigma. CFSB denies the remaining allegations set forth in paragraph 160 of the SCAC. 161. CFSB admits only that it is a corporation organized under the laws of Bermuda

with its principal place of business in Hamilton, Bermuda and that it employed Ian Pilgrim and Brian Francoeur. CFSB denies the remaining allegations set forth in paragraph 161 of the SCAC.

3

CBN and CGC entered into agreements with Fairfield Sentry and Fairfield Sigma including as follows: Fairfield Sentry Custodian Agreement, dated July 3, 2006; Fairfield Sentry Brokerage and Custody Agreement, dated July 17, 2003; Fairfield Sigma Brokerage and Custody Agreement, dated August 12, 2003. Such agreements are referred to as the "Custodian Agreements." 7

162.

Paragraph 162 contains no allegations of fact, and therefore no response is

required. To the extent that a response is deemed to be required, CFSB denies the allegations set forth in paragraph 162 of the SCAC. 163. CFSB admits only that Francoeur was employed by CFSB and that Francoeur was

a director of FGBL. CFSB denies the remaining allegations set forth in paragraph 163 of the SCAC. 164. CFSB admits only that Pilgrim was employed by CFSB and that Pilgrim was a

director of FGBL. CFSB denies the remaining allegations set forth in paragraph 164 of the SCAC. 165. CFSB admits only that GlobeOp was the administrator of Greenwich Sentry.

CFSB is without sufficient knowledge or information to form a belief as to the truth of the remaining allegations set forth in paragraph 165 of the SCAC, and therefore denies same. 166. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 166 of the SCAC, and therefore denies same. 167. CFSB admits only that Bernard L. Madoff was arrested and charged in an 11-

count criminal complaint, that Bernard L. Madoff admitted he operated a Ponzi scheme, and that Bernard L. Madoff was sentenced to 150 years in prison. CFSB is without sufficient knowledge or information to form a belief as to the truth of the remaining allegations set forth in paragraph 167 of the SCAC, and therefore denies same. 168. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 168 of the SCAC, and therefore denies same. 169. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 169 of the SCAC, and therefore denies same.

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170.

CFSB admits only that Fairfield Sentry was incorporated in 1990 as an

international business company in the Territory of the British Virgin Islands, that Madoff (as defined in the SCAC) served as execution agent and sub-custodian for Fairfield Sentry, that Fairfield Sentry was primarily marketed to foreign investors and investments in Fairfield Sentry were made from outside New York, and that on July 21, 2009 the Eastern Caribbean Supreme Court in the High Court of Justice (the "BVI Court") ordered Fairfield Sentry to be wound up and appointed Christopher Stride and Kenneth Krys as joint liquidators. CFSB denies the remaining allegations set forth in paragraph 170 of the SCAC. 171. CFSB admits only that Fairfield Sigma was an international business company

organized under the laws of the BVI, that Fairfield Sigma was marketed to foreign investors and investments in Fairfield Sigma were made from outside New York, and that on July 21, 2009 the BVI Court ordered Fairfield Sigma to be wound up and appointed Christopher Stride and Kenneth Krys as joint liquidators. CFSB denies the remaining allegations set forth in paragraph 171 of the SCAC. 172. CFSB admits only that Greenwich Sentry is a Delaware limited partnership

organized on December 27, 1990 under the name Aspen/Greenwich Limited Partnership, that its name was changed to Greenwich Sentry, L.P., that Greenwich Sentry commenced operations on January 1, 1993, and that Madoff (as defined in the SCAC) served as the execution agent and custodian for Greenwich Sentry. CFSB denies the remaining allegations set forth in paragraph 172 of the SCAC. 173. CFSB admits only that Greenwich Sentry Partners is a Delaware limited

partnership organized on April 11, 2006, which commenced operations on May 1, 2006 and that

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Madoff (as defined in the SCAC) was custodian for Greenwich Sentry Partners. CFSB denies the remaining allegations set forth in paragraph 173 of the SCAC. 174. Paragraph 174 contains no allegations of fact, and therefore no response is

required. To the extent that a response is deemed to be required, CFSB denies the allegations set forth in paragraph 174 of the SCAC. 175. 176. CFSB denies the allegations set forth in paragraph 175 of the SCAC. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 176 of the SCAC, and therefore denies same. 177. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 177 of the SCAC, and therefore denies same. 178. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 178 of the SCAC, and therefore denies same. 179. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 179 of the SCAC, and therefore denies same. 180. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 180 of the SCAC, and therefore denies same. 181. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 181 of the SCAC, and therefore denies same. 182. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 182 of the SCAC, and therefore denies same. 183. 184. CFSB denies the allegations set forth in paragraph 183 of the SCAC. CFSB denies the allegations set forth in paragraph 184 of the SCAC.

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185.

CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 185 of the SCAC, and therefore denies same. 186. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 186 of the SCAC, and therefore denies same. 187. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 187 of the SCAC, and therefore denies same. 188. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 188 of the SCAC, and therefore denies same. 189. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 189 of the SCAC, and therefore denies same. 190. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 190 of the SCAC, and therefore denies same. 191. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 191 of the SCAC, and therefore denies same. 192. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 192 of the SCAC, and therefore denies same. 193. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 193 of the SCAC, and therefore denies same. 194. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 194 of the SCAC, and therefore denies same. CFSB refers to the referenced Placement Memoranda for a complete statement of their contents.

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195.

CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 195 of the SCAC, and therefore denies same. CFSB refers to the referenced Placement Memoranda for a complete statement of their contents. 196. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 196 of the SCAC, and therefore denies same. 197. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 197 of the SCAC, and therefore denies same. 198. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 198 of the SCAC, and therefore denies same. 199. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 199 of the SCAC, and therefore denies same. 200. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 200 of the SCAC, and therefore denies same. 201. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 201 of the SCAC, and therefore denies same. 202. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 202 of the SCAC, and therefore denies same. 203. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 203 of the SCAC, and therefore denies same. 204. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 204 of the SCAC, and therefore denies same. 205. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 205 of the SCAC, and therefore denies same.

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206.

CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 206 of the SCAC, and therefore denies same. 207. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 207 of the SCAC, and therefore denies same. 208. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 208 of the SCAC, and therefore denies same. 209. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 209 of the SCAC, and therefore denies same. 210. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 210 of the SCAC, and therefore denies same. 211. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 211 of the SCAC, and therefore denies same. 212. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 212 of the SCAC, and therefore denies same. 213. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 213 of the SCAC, and therefore denies same. 214. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 214 of the SCAC, and therefore denies same. 215. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 215 of the SCAC, and therefore denies same. 216. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 216 of the SCAC, and therefore denies same. 217. CFSB denies the allegations set forth in paragraph 217 of the SCAC.

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218.

CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 218 of the SCAC, and therefore denies same. 219. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 219 of the SCAC, and therefore denies same. 220. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 220 of the SCAC, and therefore denies same. 221. 222. CFSB denies the allegations set forth in paragraph 221 of the SCAC. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 222 of the SCAC, and therefore denies same. 223. CFSB denies the allegations set forth in paragraph 223 of the SCAC and in the

unnumbered paragraph on page 71 following subheading E.6. 224. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 224 of the SCAC, and therefore denies same. 225. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 225 of the SCAC, and therefore denies same. 226. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 226 of the SCAC, and therefore denies same. 227. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 227 of the SCAC, and therefore denies same. 228. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 228 of the SCAC, and therefore denies same. 229. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 229 of the SCAC, and therefore denies same.

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230.

CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 230 of the SCAC, and therefore denies same. 231. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 231 of the SCAC, and therefore denies same. 232. 233. CFSB denies the allegations set forth in paragraph 232 of the SCAC. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 233 of the SCAC, and therefore denies same. 234. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 234 of the SCAC, and therefore denies same. 235. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 235 of the SCAC, and therefore denies same. 236. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 236 of the SCAC, and therefore denies same. 237. CFSB admits only that the referenced PPMs contain provisions regarding

placement fees. CFSB refers to the referenced PPMs for a complete statement of their contents. CFSB is without sufficient knowledge or information to form a belief as to the truth of the remaining allegations set forth in paragraph 237 of the SCAC, and therefore denies same. 238. CFSB admits only that the referenced PPMs contain provisions regarding

performance fees. CFSB refers to the referenced PPMs for a complete statement of their contents. CFSB is without sufficient knowledge or information to form a belief as to the truth of the remaining allegations set forth in paragraph 238 of the SCAC, and therefore denies same. 239. CFSB admits only that the referenced PPMs contain provisions regarding

management fees. CFSB refers to the referenced PPMs for a complete statement of their

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contents. CFSB is without sufficient knowledge or information to form a belief as to the truth of the remaining allegations set forth in paragraph 239 of the SCAC, and therefore denies same. 240. CFSB admits only that the referenced PPM contains a provision regarding fees for

administrative services and back office support. CFSB refers to the referenced PPM for a complete statement of its contents. CFSB is without sufficient knowledge or information to form a belief as to the truth of the remaining allegations set forth in paragraph 240 of the SCAC, and therefore denies same. 241. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 241 of the SCAC, and therefore denies same. 242. CFSB admits only that the referenced PPMs contain provisions regarding fees and

expense reimbursements. CFSB refers to the referenced PPMs for a complete statement of their contents. CFSB is without sufficient knowledge or information to form a belief as to the truth of the remaining allegations set forth in paragraph 242 of the SCAC, and therefore denies same. 243. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 243 of the SCAC, and therefore denies same. 244. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 244 of the SCAC, and therefore denies same. 245. CFSB admits only that the referenced COMs contain provisions regarding

incentive allocations. CFSB refers to the referenced COMs for a complete statement of their contents. CFSB is without sufficient knowledge or information to form a belief as to the truth of the remaining allegations set forth in paragraph 245 of the SCAC, and therefore denies same. 246. CFSB admits only that the referenced COMs contain provisions regarding

management fees. CFSB refers to the referenced COMs for a complete statement of their

16

contents. CFSB is without sufficient knowledge or information to form a belief as to the truth of the remaining allegations set forth in paragraph 246 of the SCAC, and therefore denies same. 247. CFSB admits only that the referenced COMs contain provisions regarding fees for

administrative services and back office support. CFSB refers to the referenced COMs for a complete statement of their contents. CFSB is without sufficient knowledge or information to form a belief as to the truth of the remaining allegations set forth in paragraph 247 of the SCAC, and therefore denies same. 248. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 248 of the SCAC, and therefore denies same. 249. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 249 of the SCAC, and therefore denies same. 250. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 250 of the SCAC, and therefore denies same. 251. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 251 of the SCAC, and therefore denies same. 252. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 252 of the SCAC, and therefore denies same. 253. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 253 of the SCAC, and therefore denies same. 254. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 254 of the SCAC, and therefore denies same. 255. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 255 of the SCAC, and therefore denies same.

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256.

CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 256 of the SCAC, and therefore denies same. 257. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 257 of the SCAC, and therefore denies same. 258. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 258 of the SCAC, and therefore denies same. 259. CFSB admits only that PwC Netherlands and PwC Canada were auditors for the

Funds. CFSB is without sufficient knowledge or information to form a belief as to the truth of the remaining allegations set forth in paragraph 259 of the SCAC, and therefore denies same. 260. CFSB admits only that PwC Netherlands and PwC Canada provided auditing

services to the Funds. CFSB is without sufficient knowledge or information to form a belief as to the truth of the remaining allegations set forth in paragraph 260 of the SCAC, and therefore denies same. 261. CFSB admits only that PwC Netherlands issued an unqualified audit opinion for

the financial statements of Greenwich Sentry for the year ended December 31, 2005 and certified that the financial statements were presented in conformity with United States generally accepted accounting principles ("GAAP") and the audit was conducted in accordance with United States generally accepted auditing standards ("GAAS"). CFSB is without sufficient knowledge or information to form a belief as to the truth of the remaining allegations set forth in paragraph 261 of the SCAC, and therefore denies same. 262. CFSB admits only that PwC Canada issued an unqualified audit opinion for the

financial statements of Greenwich Sentry for the years ended December 31, 2006 and 2007 and certified that the financial statements were presented in conformity with GAAP and the audit was

18

conducted in accordance with GAAS. CFSB is without sufficient knowledge or information to form a belief as to the truth of the remaining allegations set forth in paragraph 262 of the SCAC, and therefore denies same. 263. CFSB admits only that PwC Netherlands issued an unqualified audit opinion for

the financial statements of Fairfield Sentry for the years ended December 31, 2002, 2003, 2004 and 2005 and certified that the financial statements were presented in conformity with International Financial Reporting Standards ("IFRS") and the audit was conducted in accordance with International Standards of Auditing ("ISA"). CFSB is without sufficient knowledge or information to form a belief as to the truth of the remaining allegations set forth in paragraph 263 of the SCAC, and therefore denies same. 264. CFSB admits only that PwC Canada issued an unqualified audit opinion for the

financial statements of Fairfield Sentry for the years ended December 31, 2006 and 2007 and certified that the financial statements were presented in accordance with IFRS and the audit was conducted in accordance with GAAS. CFSB is without sufficient knowledge or information to form a belief as to the truth of the remaining allegations set forth in paragraph 264 of the SCAC, and therefore denies same. 265. CFSB admits only that PwC Netherlands issued an unqualified audit opinion for

the financial statements of Fairfield Sigma for the years ended December 31, 2003, 2004 and 2005 and certified that the financial statements were presented in conformity with IFRS and the audit was conducted in accordance with ISA. CFSB is without sufficient knowledge or information to form a belief as to the truth of the remaining allegations set forth in paragraph 265 of the SCAC, and therefore denies same.

19

266.

CFSB admits only that PwC Canada issued an unqualified audit opinion for the

financial statements of Fairfield Sigma for the years ended December 31, 2006 and 2007 and certified that the financial statements were presented in conformity with IFRS and the audit was conducted in accordance with GAAS. CFSB is without sufficient knowledge or information to form a belief as to the truth of the remaining allegations set forth in paragraph 266 of the SCAC, and therefore denies same. 267. CFSB admits only that PwC Canada issued an unqualified audit opinion for the

financial statements of Greenwich Sentry Partners for the years ended December 31, 2006 and 2007 and certified that the financial statements were presented in conformity with GAAP and the audit was conducted in accordance with GAAS. CFSB is without sufficient knowledge or information to form a belief as to the truth of the remaining allegations set forth in paragraph 267 of the SCAC, and therefore denies same. 268. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 268 of the SCAC, and therefore denies same. 269. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 269 of the SCAC, and therefore denies same. 270. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 270 of the SCAC, and therefore denies same. 271. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 271 of the SCAC, and therefore denies same. 272. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 272 of the SCAC, and therefore denies same.

20

273.

CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 273 of the SCAC, and therefore denies same. 274. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 274 of the SCAC, and therefore denies same. 275. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 275 of the SCAC, and therefore denies same. 276. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 276 of the SCAC, and therefore denies same. 277. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 277 of the SCAC, and therefore denies same. 278. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 278 of the SCAC, and therefore denies same. 279. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 279 of the SCAC, and therefore denies same. 280. Paragraph 280 contains no allegations of fact, and therefore no response is

required. To the extent that a response is deemed to be required, CFSB is without sufficient knowledge or information to form a belief as to the truth of the allegations set forth in paragraph 280 of the SCAC, and therefore denies same. 281. Paragraph 281 contains no allegations of fact, and therefore no response is

required. To the extent that a response is deemed to be required, CFSB is without sufficient knowledge or information to form a belief as to the truth of the allegations set forth in paragraph 281 of the SCAC, and therefore denies same.

21

282.

Paragraph 282 contains no allegations of fact, and therefore no response is

required. To the extent that a response is deemed to be required, CFSB is without sufficient knowledge or information to form a belief as to the truth of the allegations set forth in paragraph 282 of the SCAC, and therefore denies same. 283. Paragraph 283 contains no allegations of fact, and therefore no response is

required. To the extent that a response is deemed to be required, CFSB is without sufficient knowledge or information to form a belief as to the truth of the allegations set forth in paragraph 283 of the SCAC, and therefore denies same. 284. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 284 of the SCAC, and therefore denies same. 285. Paragraph 285 contains no allegations of fact, and therefore no response is

required. To the extent that a response is deemed to be required, CFSB is without sufficient knowledge or information to form a belief as to the truth of the allegations set forth in paragraph 285 of the SCAC, and therefore denies same. 286. Paragraph 286 contains no allegations of fact, and therefore no response is

required. To the extent that a response is deemed to be required, CFSB is without sufficient knowledge or information to form a belief as to the truth of the allegations set forth in paragraph 286 of the SCAC, and therefore denies same. 287. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 287 of the SCAC, and therefore denies same. 288. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 288 of the SCAC, and therefore denies same.

22

289.

Paragraph 289 contains no allegations of fact, and therefore no response is

required. To the extent that a response is deemed to be required, CFSB is without sufficient knowledge or information to form a belief as to the truth of the allegations set forth in paragraph 289 of the SCAC, and therefore denies same. 290. Paragraph 290 contains no allegations of fact, and therefore no response is

required. To the extent that a response is deemed to be required, CFSB is without sufficient knowledge or information to form a belief as to the truth of the allegations set forth in paragraph 290 of the SCAC, and therefore denies same. 291. Paragraph 291 contains no allegations of fact, and therefore no response is

required. To the extent that a response is deemed to be required, CFSB is without sufficient knowledge or information to form a belief as to the truth of the allegations set forth in paragraph 291 of the SCAC, and therefore denies same. 292. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 292 of the SCAC, and therefore denies same. 293. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 293 of the SCAC, and therefore denies same. 294. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 294 of the SCAC, and therefore denies same. 295. Paragraph 295 contains no allegations of fact, and therefore no response is

required. To the extent that a response is deemed to be required, CFSB is without sufficient knowledge or information to form a belief as to the truth of the allegations set forth in paragraph 295 of the SCAC, and therefore denies same.

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296.

CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 296 of the SCAC, and therefore denies same. 297. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 297 of the SCAC, and therefore denies same. 298. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 298 of the SCAC, and therefore denies same. 299. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 299 of the SCAC, and therefore denies same. 300. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 300 of the SCAC, and therefore denies same. 301. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 301 of the SCAC, and therefore denies same. 302. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 302 of the SCAC, and therefore denies same. 303. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 303 of the SCAC, and therefore denies same. 304. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 304 of the SCAC, and therefore denies same. 305. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 305 of the SCAC, and therefore denies same. 306. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 306 of the SCAC, and therefore denies same.

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307.

CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 307 of the SCAC, and therefore denies same. 308. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 308 of the SCAC, and therefore denies same. 309. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 309 of the SCAC, and therefore denies same. 310. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 310 of the SCAC, and therefore denies same. 311. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 311 of the SCAC, and therefore denies same. 312. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 312 of the SCAC, and therefore denies same. 313. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 313 of the SCAC, and therefore denies same. 314. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 314 of the SCAC, and therefore denies same. 315. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 315 of the SCAC, and therefore denies same. 316. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 316 of the SCAC, and therefore denies same. 317. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 317 of the SCAC, and therefore denies same.

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318.

CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 318 of the SCAC, and therefore denies same. 319. 320. 321. 322. 323. 324. 325. 326. 327. CFSB denies the allegations set forth in paragraph 319 of the SCAC. CFSB denies the allegations set forth in paragraph 320 of the SCAC. CFSB denies the allegations set forth in paragraph 321 of the SCAC. CFSB denies the allegations set forth in paragraph 322 of the SCAC. CFSB denies the allegations set forth in paragraph 323 of the SCAC. CFSB denies the allegations set forth in paragraph 324 of the SCAC. CFSB denies the allegations set forth in paragraph 325 of the SCAC. CFSB denies the allegations set forth in paragraph 326 of the SCAC. CFSB admits only that CFSE entered into the referenced Administration

Agreements. CFSB refers to the referenced Administration Agreements for a complete statement of their contents. CFSB denies the remaining allegations set forth in paragraph 327 of the SCAC. 328. CFSB admits only that CFSE entered into the referenced Administration

Agreements and that subscriptions were processed in accordance with the terms thereof. CFSB refers to the referenced Administration Agreements for a complete statement of their contents. CFSB denies the remaining allegations set forth in paragraph 328 of the SCAC. 329. CFSB admits only that CFSE entered into the referenced Administration

Agreements. CFSB refers to the referenced Administration Agreements for a complete statement of their contents. CFSB denies the remaining allegations set forth in paragraph 329 of the SCAC.

26

330.

CFSB admits only that CBN and CGC entered into the referenced Custodian

Agreements. CFSB refers to the referenced Custodian Agreements for a complete statement of their contents. CFSB denies the remaining allegations set forth in paragraph 330 of the SCAC. 331. CFSB admits only that CBN and CGC entered into the referenced Custodian

Agreements. CFSB refers to the referenced Custodian Agreements for a complete statement of their contents. CFSB denies the remaining allegations set forth in paragraph 331 of the SCAC. 332. 333. 334. 335. 336. 337. 338. 339. 340. 341. 342. 343. 344. CFSB denies the allegations set forth in paragraph 332 of the SCAC. CFSB denies the allegations set forth in paragraph 333 of the SCAC. CFSB denies the allegations set forth in paragraph 334 of the SCAC. CFSB denies the allegations set forth in paragraph 335 of the SCAC. CFSB denies the allegations set forth in paragraph 336 of the SCAC. CFSB denies the allegations set forth in paragraph 337 of the SCAC. CFSB denies the allegations set forth in paragraph 338 of the SCAC. CFSB denies the allegations set forth in paragraph 339 of the SCAC. CFSB denies the allegations set forth in paragraph 340 of the SCAC. CFSB denies the allegations set forth in paragraph 341 of the SCAC. CFSB denies the allegations set forth in paragraph 342 of the SCAC. CFSB denies the allegations set forth in paragraph 343 of the SCAC. CFSB admits only that GlobeOp provided administrative services to Greenwich

Sentry. CFSB is without sufficient knowledge or information to form a belief as to the truth of the remaining allegations set forth in paragraph 344 of the SCAC, and therefore denies same. 345. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 345 of the SCAC, and therefore denies same.

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346.

CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 346 of the SCAC, and therefore denies same. 347. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 347 of the SCAC, and therefore denies same. 348. CFSB is without sufficient knowledge or information to form a belief as to the

truth of the allegations set forth in paragraph 348 of the SCAC, and therefore denies same. 349. 350. 351. CFSB denies the allegations set forth in paragraph 349 of the SCAC. CFSB denies the allegations set forth in paragraph 350 of the SCAC. CFSB denies the allegations set forth in paragraph 351 of the SCAC and denies

that class certification is appropriate. 352. CFSB denies the allegations set forth in paragraph 352 of the SCAC and denies

that class certification is appropriate. 353. CFSB denies the allegations set forth in paragraph 353 of the SCAC and denies

that class certification is appropriate. Count 1 Fraud against Fairfield Fraud Claim Defendants (Purchaser Claims) 354.-359. This Count is not directed at CFSB, and therefore no response is required. To the extent that a response is deemed to be required, as to paragraph 354, CFSB repeats and reincorporates by reference its responses to the foregoing paragraphs as if set forth fully herein. As to paragraphs 355 through 359, CFSB is without sufficient knowledge or information to form a belief as to the truth of the allegations set forth in these paragraphs, and therefore denies same.

28

Count 2 Fraud against Fairfield Fraud Claim Defendants (Holder Claims) 360.-366. This Count is not directed at CFSB, and therefore no response is required. To the extent that a response is deemed to be required, as to paragraph 360, CFSB repeats and reincorporates by reference its responses to the foregoing paragraphs as if set forth fully herein. As to paragraphs 361 through 366, CFSB is without sufficient knowledge or information to form a belief as to the truth of the allegations set forth in these paragraphs, and therefore denies same. Count 3 Violation of Section 10(b) and Rule 10b-5 against Fairfield Fraud Claim Defendants 367.-374. This Count is not directed at CFSB, and therefore no response is required. To the extent that a response is deemed to be required, as to paragraph 367, CFSB repeats and reincorporates by reference its responses to the foregoing paragraphs as if set forth fully herein. As to paragraphs 368 through 374, CFSB is without sufficient knowledge or information to form a belief as to the truth of the allegations set forth in these paragraphs, and therefore denies same. Count 4 Violation of Section 20(a) against Fairfield Fraud Claim Defendants and Defendants Landsberger, Murphy, and Smith 375.-378. This Count is not directed at CFSB, and therefore no response is required. To the extent that a response is deemed to be required, as to paragraph 375, CFSB repeats and reincorporates by reference its responses to the foregoing paragraphs as if set forth fully herein. As to paragraphs 376 through 378, CFSB is without sufficient knowledge or information to form a belief as to the truth of the allegations set forth in these paragraphs, and therefore denies same.

29

Count 5 Negligent Misrepresentation against Fairfield Defendants (Purchaser Claims) 379.-386. This Count is not directed at CFSB, and therefore no response is required. To the extent that a response is deemed to be required, as to paragraph 379, CFSB repeats and reincorporates by reference its responses to the foregoing paragraphs as if set forth fully herein. As to paragraphs 380 through 386, CFSB is without sufficient knowledge or information to form a belief as to the truth of the allegations set forth in these paragraphs, and therefore denies same. Count 6 Negligent Misrepresentation against Fairfield Defendants (Holder Claims) 387.-394. This Count is not directed at CFSB, and therefore no response is required. To the extent that a response is deemed to be required, as to paragraph 387, CFSB repeats and reincorporates by reference its responses to the foregoing paragraphs as if set forth fully herein. As to paragraphs 388 through 394, CFSB is without sufficient knowledge or information to form a belief as to the truth of the allegations set forth in these paragraphs, and therefore denies same. Count 7 Gross Negligence against Fairfield Defendants 395.-401. This Count is not directed at CFSB, and therefore no response is required. To the extent that a response is deemed to be required, as to paragraph 395, CFSB repeats and reincorporates by reference its responses to the foregoing paragraphs as if set forth fully herein. As to paragraphs 396 through 401, CFSB is without sufficient knowledge or information to form a belief as to the truth of the allegations set forth in these paragraphs, and therefore denies same.

30

Count 8 Breach of Fiduciary Duty against Fairfield Defendants 402.-409. This Count is not directed at CFSB, and therefore no response is required. To the extent that a response is deemed to be required, as to paragraph 402, CFSB repeats and reincorporates by reference its responses to the foregoing paragraphs as if set forth fully herein. As to paragraphs 403 through 409, CFSB is without sufficient knowledge or information to form a belief as to the truth of the allegations set forth in these paragraphs, and therefore denies same. Count 9 Third-Party Beneficiary Breach of Contract against Fairfield Defendants and Fairfield Fee Claim Defendants 410.-416. This Count is not directed at CFSB, and therefore no response is required. To the extent that a response is deemed to be required, as to paragraph 410, CFSB repeats and reincorporates by reference its responses to the foregoing paragraphs as if set forth fully herein. As to paragraphs 411 through 416, CFSB is without sufficient knowledge or information to form a belief as to the truth of the allegations set forth in these paragraphs, and therefore denies same. Count 10 Constructive Trust against Fairfield Defendants and Fairfield Fee Claim Defendants 417.-420. Count 10 was dismissed in its entirety by Order of the Court dated August 18, 2010. Count 11 Mutual Mistake against Fairfield Defendants and Fairfield Fee Claim Defendants 421.-425. This Count is not directed at CFSB, and therefore no response is required. To the extent that a response is deemed to be required, as to paragraph 421, CFSB repeats and reincorporates

31

by reference its responses to the foregoing paragraphs as if set forth fully herein. As to paragraphs 422 through 425, CFSB is without sufficient knowledge or information to form a belief as to the truth of the allegations set forth in these paragraphs, and therefore denies same. Count 12 Gross Negligence against PricewaterhouseCoopers 426.-432. Count 12 was dismissed in its entirety by Order of the Court dated August 18, 2010. Count 13 Negligence against PricewaterhouseCoopers 433.-437. This Count is not directed at CFSB, and therefore no response is required. To the extent that a response is deemed to be required, as to paragraph 433, CFSB repeats and reincorporates by reference its responses to the foregoing paragraphs as if set forth fully herein. As to paragraphs 434 through 437, CFSB is without sufficient knowledge or information to form a belief as to the truth of the allegations set forth in these paragraphs, and therefore denies same. Count 14 Negligent Misrepresentation against PricewaterhouseCoopers 438.-445. This Count is not directed at CFSB, and therefore no response is required. To the extent that a response is deemed to be required, as to paragraph 438, CFSB repeats and reincorporates by reference its responses to the foregoing paragraphs as if set forth fully herein. As to paragraphs 439 through 445, CFSB is without sufficient knowledge or information to form a belief as to the truth of the allegations set forth in these paragraphs, and therefore denies same.

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Count 15 Third-Party Beneficiary Breach of Contract against PricewaterhouseCoopers 446.-450. Count 15 was dismissed in its entirety by Order of the Court dated August 18, 2010. Count 16 Aiding and Abetting Breach of Fiduciary Duty against PricewaterhouseCoopers 451.-454. Count 16 was dismissed in its entirety by Order of the Court dated August 18, 2010. Count 17 Aiding and Abetting Fraud against PricewaterhouseCoopers 455.-459. Count 17 was dismissed in its entirety by Order of the Court dated August 18, 2010. Count 18 Violation of Section 10(b) and Rule 10b-5 against PwC Canada and PwC Netherlands 460.-468. Count 18 was dismissed in its entirety by Order of the Court dated August 18, 2010. Count 19 Violation of Section 20(a) against PricewaterhouseCoopers International 469.-472. Count 19 was dismissed in its entirety by Order of the Court dated August 18, 2010. Count 20 Third-Party Beneficiary Breach of Contract against Citco4 473. CFSB repeats and reincorporates by reference its responses to the foregoing

paragraphs of the SCAC as if set forth fully herein.

CFSB believes that Count 20 was dismissed as to it by Order of the Court dated August 18, 2010, and therefore no response to this Count is required by CFSB. However, CFSB is answering this Count in an abundance of caution. 33

4

474.

CFSB admits only that CFSE entered into Administration Agreements.5 CFSB

denies the remaining allegations set forth in paragraph 474 of the SCAC. 475. 476. CFSB denies the allegations set forth in paragraph 475 of the SCAC. CFSB admits only that CFSE entered into the referenced Administration

Agreements. CFSB refers to the referenced Administration Agreements for a complete statement of their contents. CFSB denies the remaining allegations set forth in paragraph 476 of the SCAC. 477. CFSB admits only that CFSE entered into the referenced Administration

Agreements. CFSB refers to the referenced Administration Agreements for a complete statement of their contents. CFSB denies the remaining allegations set forth in paragraph 477 of the SCAC. 478. 479. CFSB denies the allegations set forth in paragraph 478 of the SCAC. CFSB admits only that CFSE entered into the referenced Administration

Agreements. CFSB refers to the referenced Administration Agreements for a complete statement of their contents. CFSB denies the remaining allegations set forth in paragraph 479 of the SCAC. 480. Pursuant to the Court's Order dated August 18, 2010, dismissing the third-party

beneficiary breach of contract claim as it relates to the Custodian Agreements, no response is required. To the extent that a response is deemed to be required, CFSB denies the allegations set forth in paragraph 480 of the SCAC.

In its Order dated August 18, 2010, the Court dismissed this claim to the extent that it related to the Custodian Agreements. Thus, the only agreements arguably relevant to this Count are the Administration Agreements. 34

5

481.

Pursuant to the Court's Order dated August 18, 2010, dismissing the third-party

beneficiary breach of contract claim as it relates to the Custodian Agreements, no response is required. To the extent that a response is deemed to be required, CFSB denies the allegations set forth in paragraph 481 of the SCAC. 482. Pursuant to the Court's Order dated August 18, 2010, dismissing the third-party

beneficiary breach of contract claim as it relates to the Custodian Agreements, no response is required. To the extent that a response is deemed to be required, CFSB denies the allegations set forth in paragraph 482 of the SCAC. 483. Pursuant to the Court's Order dated August 18, 2010, dismissing the third-party

beneficiary breach of contract claim as it relates to the Custodian Agreements, no response is required. To the extent that a response is deemed to be required, CFSB denies the allegations set forth in paragraph 483 of the SCAC. 484. 485. CFSB denies the allegations set forth in paragraph 484 of the SCAC. Pursuant to the Court's Order dated August 18, 2010, dismissing the third-party

beneficiary breach of contract claim as it relates to the Custodian Agreements, no response is required. To the extent that a response is deemed to be required, CFSB denies the allegations set forth in paragraph 485 of the SCAC. 486. CFSB denies the allegations set forth in paragraph 486 of the SCAC. Count 21 Breach of Fiduciary Duty against Citco 487.-500. Pursuant to the Court's Order dated August 18, 2010, dismissing the breach of fiduciary duty claim against CFSB, no response to this Count by CFSB is required. To the extent that a response is deemed to be required, as to paragraph 487, CFSB repeats and reincorporates by

35

reference its responses to the foregoing paragraphs as if set forth fully herein. As to paragraphs 488 through 500, CFSB denies the allegations set forth in these paragraphs. Count 22 Gross Negligence against Citco 501.-504. Pursuant to the Court's Order dated August 18, 2010, dismissing the gross negligence claim against CFSB, no response to this Count by CFSB is required. To the extent that a response is deemed to be required, as to paragraph 501, CFSB repeats and reincorporates by reference its responses to the foregoing paragraphs as if set forth fully herein. As to paragraphs 502 through 504, CFSB denies the allegations set forth in these paragraphs. Count 23 Negligence against Citco 505. -508. Pursuant to the Court's Order dated August 18, 2010, dismissing the negligence claim against CFSB, no response to this Count by CFSB is required. To the extent that a response is deemed to be required, as to paragraph 505, CFSB repeats and reincorporates by reference its responses to the foregoing paragraphs as if set forth fully herein. As to paragraphs 506 through 508, CFSB denies the allegations set forth in these paragraphs. Count 24 Aiding and Abetting Breach of Fiduciary Duty against Citco 509. CFSB repeats and reincorporates by reference its responses to the foregoing

paragraphs of the SCAC as if set forth fully herein. 510. 511. 512. CFSB denies the allegations set forth in paragraph 510 of the SCAC. CFSB denies the allegations set forth in paragraph 511 of the SCAC. CFSB denies the allegations set forth in paragraph 512 of the SCAC.

36

513. 514.