Spring company accuses former board member of stealing $8 million
A Spring company is suing over claims one of its board members schemed to steal $8 million from it.
Tadano America in Spring filed a lawsuit on Friday, June 8 in the Harris County District Court against Anthony Chiofalo, citing Texas Theft Liability Act, conversion, fraud and breach of fiduciary duty.
Tadano America says in May, an investigation into excessive legal bills revealed that its general counsel and board member Chiofalo allegedly created fictitious law firms to raid company coffers. He used company funds to pay these nonexistent law firms more than $8 million, according to the brief.
The suit also alleges Chiofalo failed to inform his employer that New York suspended his attorney's license in 2010.
Tadano is seeking injunctive relief, attorney's fees, damages and court costs. It is being represented in the case by Houston attorney Philip Hilder.
Harris County District Court Case No. 2012-33513.
This is a report on a civil lawsuit filed at the Harris County Courthouse. The details in this report come from an original complaint filed by a plaintiff. Please note, a complaint represents an accusation by a private individual, not the government. It is not an indication of guilt, and it only represents one side of the story.
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