James Dinan, the head of York Capital Management, is betting that JC Penney Corp would continue its poor performance of the company. From there, the hedge fund manager would take on the company's head honcho, billionaire investor William Ackman.

Dinan made these remarks during an investing seminar sponsored by Morgan Stanley in New YorkJames Dinan, the head of York Capital Management, is betting that JC Penney Corp would continue its poor performance of the company. From there, the hedge fund manager would take on the company's head honcho, billionaire investor William Ackman.

Dinan made these remarks during an investing seminar sponsored by Morgan Stanley in New York as shorting JC Penney's debt, putting a dim forecast for the future of the retailer. This assessment would cross the owners of JC Penney Pershing Square Capital Management hedge fund. This is Ackman's hedge fund with a US$12 billion investment in the company.