At its Board of Trustees meeting on June 7, 2018, the Kentucky Retirement Systems (KRS) Board of Trustees voted unanimously to approve the expenditure of up to $1.5 million to provide the needed resources in its defense against a suit brought by Bay Hills Capital Management, LLC.

In providing the staff with that authorization, Board Chairman Dave Harris stated that if more resources are needed in the future, the Executive Director should make that request.

KRS has also filed suit against Bay Hills in Franklin Circuit Court (Frankfort, Kentucky) alleging that Bay Hills overcharged KRS for carried interest on funds invested with Bay Hills and charged KRS far more than the contractually agreed upon management fees and expense reimbursement. Further, Bay Hills violated the key man provision of their contract with KRS.

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