Reported 4 months ago
Short seller Jim Chanos, known for his involvement in Enron Corp.’s downfall, is being sued by a partner, Conlon Holdings, for allegedly misusing company funds for personal gain and enriching his girlfriend. The lawsuit claims Chanos embezzled funds and failed to repay $10 million in loans borrowed from his firm. Chanos denies the accusations, stating the loan was paid off in 2021. Conlon seeks to prevent Chanos from transferring proceeds from a Miami apartment sale, remove him as general partner, and appoint a temporary receiver. The lawsuit further alleges that Chanos sold the company's property without informing partners and his girlfriend acted as the sales agent. Despite Chanos labeling the lawsuit as baseless, Conlon accuses him of attempting to mitigate losses through a "crude shakedown attempt."
Source: YAHOO