Hogan Lovells represents Gedesco Finance and Directors in tortious interference suit against private equity fund owners

Press releases | 29 August 2023

New York, 29 August 2023 – Global law firm Hogan Lovells has filed a complaint in New York State Supreme Court on behalf of Gedesco Finance, a non-bank financing company based in Valencia, Spain, and its directors, as well as related entities, against the majority partners of private equity fund JZ International LLC (“JZI”) for tortious interference, defamation, and related claims.

The lawsuit follows the discontinuance and subsequent disposal of an earlier suit brought by JZI against Gedesco directors Miguel Rueda Hernando and Ole Groth that had accused them of fraud. That now-terminated lawsuit had devastating consequences for Gedesco, Rueda, Groth, and their colleagues Antonio Aynat and Javier Garcia, as detailed in the complaint.

Prior to the 2022 lawsuit, Gedesco was a successful enterprise, with more than 200 employees and over 6,000 customers, according to the complaint. “It had strong relationships with investment banks and pioneered new financing methods,” the complaint states.

In 2021, Gedesco had planned to issue an IPO with Santander Bank at a valuation of more than €500 million, according to the complaint.

The 2022 lawsuit brought by JZ International co-founders and majority owners David Zalaznick and John W. Jordan II “destroyed what the Gedesco directors had spent their careers building,” the complaint states.

“In an effort to deprive the Gedesco Directors of their hard-earned success, Defendants fabricated claims against them, and sent letters to several of their colleagues, employees, business partners and banks that falsely accused them of fraud,” the complaint states. “As a result the banks pulled their financing, preventing Gedesco … from continuing to support their growing businesses. As a result, Plaintiffs have suffered massive losses.”

The complaint further states: “This action is brought to recover damages for those injuries, caused by Defendants’ tortious interference with contracts, tortious interference with prospective business advantage, and defamation.”

The Hogan Lovells team representing Gedesco, its directors, and the related entities includes New York litigation partner Dennis H. Tracey, III, Miami litigation partner Richard C. Lorenzo, and associate Natalie Granda (Miami).

The full complaint can be found here.