A leadership dispute has arisen at Ondo Finance following founder Nathan Allman's death, with allegations against former President Ian De Bode.
A significant leadership conflict is unfolding at Ondo Finance following the death of its founder, Nathan Allman.
Legal Battle Over Control of Ondo Finance Initiated
Recent court filings in Delaware reveal a struggle for control at Ondo Finance, with Allman’s estate alleging that former President Ian De Bode has unlawfully taken charge of the company.
The legal proceedings, initiated in Delaware Chancery Court, aim to clarify governance rights at Ondo Finance and seek to prevent any major corporate actions until the dispute is settled. This conflict emerged shortly after Allman passed away in May, when he was serving as CEO, sole director, and controlling shareholder of the company.
Following Allman's death, his voting rights transferred to his estate, which could not exercise them until Kathleen Allman, his mother, was appointed as the personal representative during probate on June 26.
De Bode has claimed that he automatically became CEO according to the company's bylaws, unilaterally elected himself as the sole director, and initiated various corporate actions. The estate argues that these actions were invalid since the bylaws required board approval for such appointments.
Initially, Kathleen Allman sought a smooth transition rather than an immediate ousting of De Bode, but the situation escalated when her requests for corporate documents were ignored. She subsequently expanded the board, appointed new directors, and on July 24, voted to remove De Bode from all positions while taking on the roles of chair and interim CEO herself.
The estate is pushing for an expedited ruling, citing concerns that the ongoing uncertainty could affect contracts and other vital corporate decisions. Meanwhile, De Bode has expressed regret over the lawsuit, stating it is not in the company’s best interest and asserting that the claims from Allman’s estate lack merit.
In a separate statement, the Ondo Board reaffirmed its commitment to Allman's vision for the future of finance while focusing on community service and continuity during this leadership transition. The company recently appointed Adam Schlisman, a former executive at Blockchain.com, as its new chief financial officer.
