TCW sues ex-exec Gundlach for $200M
TCW today filed suit against its former chief investment officer, Jeffrey Gundlach, and his new asset management firm,…
TCW today filed suit against its former chief investment officer, Jeffrey Gundlach, and his new asset management firm, DoubleLine Capital, accusing Mr. Gundlach of stealing TCW property, fraud and breach of fiduciary duty.
TCW seeks more than $200 million in damages in the lawsuit, filed in California Superior Court.
The suit claims that after Mr. Gundlach was terminated from TCW on Dec. 4, he “was able to invite hundreds of TCW clients to webcasts in which he touted the capabilities of his new enterprise and disparaged those of his former employer.”
The lawsuit claims the defendants conspired to steal proprietary TCW information; used confidential TCW information after leaving the company; and solicited business from TCW clients by making false statements about the firm.
“The sudden appearance of this new entrant in the money management business has been hailed by the financial press as a testament to Gundlach’s organizational skill and financial savvy. The truth is much shabbier,” the suit states.
TCW spokeswoman Erin Freeman declined to comment; Mr. Gundlach could not be immediately reached for comment.
[This story first appeared in Pensions & Investments, a sister publication of InvestmentNews]
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