San Francisco – San Francisco Oakland Bay Area venture capital company founder Andrew Chung is being sued for breach of fiduciary duty for secretly changing contractual language in a scheme to steal $80 million of its money, according to a lawsuit filed in Santa Clara County Superior Court by Global Industrial Investment Limited (GIIL).
Chung, who founded 1955 Capital, is being sued by Global Industrial Investment Limited (GIIL), a wholly-owned subsidiary of China Fortune Land Development, a publicly-traded real estate company and leading developer and operator of industrial mixed-use projects in China.
“This is an action based upon Andrew Chung’s having breached fiduciary duties to GIIL . . . . GIIL brings this action to put an end to Chung’s and the fiduciaries’ scheme to rob GIIL of its $80 million investment and to hold Chung accountable for his wrongdoing,” according to the complaint filed by GIIL’s attorneys.
Chung, 42, a former partner at Khosla Ventures and principal at Lightspeed Venture Partners, is married to Coral Chung, CEO of Silicon Valley luxury purse startup Senreve. GIIL is suing both Mr. and Mrs. Chung for fraud in a separate legal action in China.
In 2015, pursuant to agreements that are in dispute, GIIL invested into 1955 China Fund LP and 1955 Capital Fund LP. Chung’s company, 1955 Capital, is the general partner for both funds. In its lawsuit, GIIL says Chung and the funds unilaterally made changes to contractual documents, and did not provide the altered documents to GIIL until nearly a year later, after GIIL had invested in the funds.
“There is ample evidence that Chung recklessly breached his fiduciary duty to GIIL by secretly changing the deal terms in a scheme to keep all the $80 million investment for himself,” said attorney Yan Zhang, a partner at Baker Botts L.L.P. Zhang said the lawsuit seeks the return of the $80 million, additional compensatory damages, punitive damages, and injunctive relief.
Zhang also said, based on his knowledge, a similar lawsuit has been filed in China that alleges fraud both by Andrew Chung and his wife Coral Chung based upon promises made to GIIL there. That lawsuit seeks the return of GIIL’s $80 million investment and $28.2 million in compensatory damages.
Zhang said additional action by GIIL against Mr. Chung, Mrs. Chung, and others is anticipated.
You may also like
Oakland News Now Recent Posts
- Kev Choice Tribute to Michael Morgan October 20, 2021
- Best of Week 7 of the 2021 College Football Season – Part 1 ᴴᴰ October 20, 2021
- Astros vs. Red Sox ALCS Game 4 Highlights (10/19/21) | MLB Highlights October 20, 2021
- Skateboarders Making Pilgrimage to San Francisco’s Pier 7, Following Vandalism October 20, 2021
- NEW NBA odds released, plus MLB playoffs and NFL WEEK 6 Recap October 20, 2021
- 30 Years Later: East Bay Remembers Oakland Hills Fire October 20, 2021
- San Francisco In N Out temporarily closed over city’s proof of COVID 19 October 20, 2021
- Public Enemy – 30th Anniversary Oaktown’s On Fire! – Kaiser Conv. Center – Oakland, CA – 10/20/1991 October 20, 2021
- Anthrax – 30th Anniversary Oaktown’s On Fire! – Kaiser Convention Center – Oakland, CA – 10/20/1991 October 20, 2021
- Primus – 30th Anniversary Oaktown’s On Fire! – Kaiser Convention Center – Oakland, CA – 10/20/1991 October 20, 2021
- Lakers Postgame: Anthony Davis (10/19/21) October 20, 2021
- Mark Zuckerberg’s Post On Facebook’s Impact On America Forgets U.S. Diversity Makes It Ripe Target For Hate Content October 20, 2021
- Lakers Postgame: LeBron James (10/19/21) October 20, 2021
- Lakers Postgame: Frank Vogel (10/19/21) October 20, 2021
- Oakland PD Hates On Doja October 20, 2021
- Astros vs Red Sox Game 4 Highlights | MLB 2021 October 20, 2021
- HIGHLIGHTS | Los Angeles Lakers vs Golden State Warriors October 20, 2021
- HIGHLIGHTS | LeBron James (34 pts, 5 ast, 11 reb) vs Golden State Warriors October 20, 2021
- HIGHLIGHTS | Anthony Davis (33 pts, 11 reb) vs Golden State Warriors October 20, 2021
- Stephen Curry Tallies a Triple-Double in Season Opener! | Oct. 19, 2021 October 20, 2021
- Oakland City Council Unanimously Approves Vice Mayor Rebecca Kaplan’s Proposal To Support Litigation Against Ghost Guns October 20, 2021
- Henry Ruggs III Mic’d Up vs. Broncos: ‘All Bama on the Board!’ | Week 6 | Las Vegas Raiders | NFL October 20, 2021
- Boxing Sandor Martin Stuns Boxing World By Defeating Former Champ Mikey Garcia By Eric Pangilinan October 19, 2021
- Meet Jon Bean, Oakland Rising’s Deputy Director Taks With Liz Suk, Executive Director October 19, 2021
- Philadelphia Eagles vs Las Vegas Raiders | Week 7 NFL Game Preview October 19, 2021
- Oakland hills firestorm marks 30th anniversary October 19, 2021
- 30 years later: Remembering the Oakland Hills Fire October 19, 2021
- Los Bukis ULTIMO CONCIERTO 2021 Oakland CA I Mi Mayor Necesidad October 19, 2021
- In-N-Out Burger in Battle With San Francisco Health Officials Over COVID Rules October 19, 2021
- Braves vs Dodgers Game 3 Highlights | MLB 2021 October 19, 2021