The leading US financial writer Michael Lewis is reportedly being sued for defamation by a fund manager over his best-selling book about the financial crisis.
Mr Lewis’ book, entitled The Big Short: Inside the Doomsday Machine, gives an account of the financial crisis as it happened. It was published last year, and spent several weeks on the New York Times bestseller list.
However, the author of the book is now being sued for defamation in a Manhattan court by a fund manager unhappy with the way he and his company are depicted. Mr Wing Chau, who is the president of investment firm Harding Advisory, claims that he is unfairly depicted by Lewis as a ‘villain’ of the 2008 financial crisis.
The lawsuit states:
“In sharing the purported insider’s view of the mortgage market meltdown, Lewis made false and defamatory statements about an experienced investment professional, Wing Chau, and his firm, Harding Advisory LLC,”
Mr Chau is said to be seeking at least $75,000 in damages from Lewis and his publishing company W.W. Norton, which presumably has professional indemnity insurance to cover defamation claims such as this. The investor is also reported to be suing hedge fund manager Steven Eisman, who it is claimed appears in the books as a “heroic” figure.