Bad news for Bloomberg L.P. and its co-defendants in a libel suit: the U.S. Court of Appeals for the Second Circuit breathed new life back into the case Tuesday.

The panel of Circuit Judges John Walker Jr., Peter Hall and Denny Chin in Friedman v. Bloomberg, 16-1335-cv, largely upheld the decision by U.S. District Judge Alvin Thompson of the District of Connecticut dismissing defamation allegations by the subject of an article by the media company.

Dan Friedman had sued his former employer, Netherlands-based Palladyne International Asset Management, for wrongful termination in 2012. According to Friedman, the hedge fund was in fact a kickback and money laundering operation for former Libyan strongman Muammar Gaddafi. After expressing concerns internally over the legitimacy of the firm, Friedman claims to have been fired without defensible cause.