Enters Legal Action Aganist Redclays Capital for Breach of Contract

 

 

REO Capital Enters Legal Action Against Redclays Capital   

 

Srini Chakwal, the CEO of Redclays Capital, Private Equity Firm in India, has agreed and signed a Contract with REO Capital, a Capital Introduction Firm to raise $100 Million dollars for the Redclays Private Equity India Fund and agreed to pay REO Capital $420,000 in Retaining Fees plus a 2% Success Fee that equals $2,000,000 for a total fee of $2,420,000 to have REO Capital bring Institutional Clients to the Redclays Capital Private Equity Fund which invests in lower to middle market companies in India on February 7th, 2013.   

On February 15th, 2013 Srini Chakwal of Redclays Capital agreed to wire transfer the required Fees for the Contract with REO Capital regarding the Capital Raise on his Private Equity fund. By February 26th, 2013 Srini Chakwal of Redclays Capital had "Breached the Contract" with REO Capital by failing to abide by the terms of the REO Capital Contract. As of March 7th, 2013 Redcalys Capital has not abided by any part of the REO Capital Contract signed and agreed upon with REO Capital, LLC. 

If necessary a Lawsuit will be Filed by REO Capital, LLC in India which is Redclays Capital Headquarters, along with California where Redclays which employs representatives as well. For Institutional investors considering Investing in Redclays Capital Private Equity Fund, these investors should be aware when conducting Due Diligence on Redclays Capital firm that Redclays Capital is in Default of the REO Capital Contract and has Breached the Contract and Legal Proceedings are pending! These Legal Proceedings clearly demonstrates a lack of professionalism, credibility & ethics on the part of Redclays Capital that Institutional Investors should consider before Investing in Redclays Capital Private Equity India Fund. This Breach of Contract from Redclays with REO Capital will not institute Trust with Investors in the fund. If Redclays Capital can not honor the contract terms of the Capital Raising firm - REO Capital that brings institutional investors into the fund, then it is doubtful whether Redclays Capital can be ethical with the equity investments in the fund over a 5 year lock-up period in the fund? "Caveat Emptor" 

John Denes
CEO
REO Capital, LLC
johndenes at reocapitalllc.com

248-313-9966