Australian tech company sues over CSO investment

The Australian Financial Review reports that an Australian court will today hear a case in which an investor is suing a financial advisor over CDO losses. Melbourne-based Ceramic Fuel Cells is seeking AUD25 million in compensation from Oakvale Capital, which sold it a CDO known as Khamsin. The technology company lost AUD10 million after investing part of its AUD90 million in the CDO, which was managed by Washington Square, according to the article. The Australian Financial Review does not say which bank was the swap counterparty on the deal, but Khamsin is a vehicle that was used by WestLB for other corporate CSOs.