(Bloomberg) -- Marble Ridge Capital founder Daniel Kamensky has had his New York law license suspended months after pleading guilty to bankruptcy fraud and receiving a six-month sentence.
A Manhattan-based state appeals court on Thursday suspended Kamensky's license pending further disciplinary proceedings that may lead to his disbarment, noting that he was convicted of a “serious crime” earlier this year.
Kamensky, 48, of Roslyn, New York, in February admitted that he abused his position as a member of the creditors' committee in the bankruptcy of Neiman Marcus Group Inc. to pressure Jefferies Financial Group Inc. to abandon a bid for the insolvent retailer's assets so Marble Ridge could acquire them for less. He was sentenced in May.
A Georgetown Law graduate and former attorney at Simpson Thacher & Bartlett, Kamensky left the legal profession long ago for the finance industry, first joining Lehman Brothers and then Paulson & Co. before launching Marble Ridge in 2015.
Any thought Kamensky might have of returning to the law will have to be put on hold. Lawyers convicted of felonies are often subject to automatic disbarment, and Kamensky didn't oppose the committee's finding that bankruptcy fraud constituted a “serious crime” meriting suspension. His lawyer did request a hearing and the opportunity to provide evidence.
Kamensky was charged in September 2020 after the Neiman bankruptcy judge asked prosecutors to investigate his actions.
Read More: Neiman Marcus Bankruptcy Ends, Marked by Arrest of Nemesis
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