Prospective Sheffield Wednesday owner facing legal battle with former business partner

Prospective Sheffield Wednesday owner James Bord is facing a serious legal battle in the United States, according to The Times.

The British businessman is being sued by a former friend and business partner, Jonathan Cohen, over an investment in Spanish second division club Cordoba.

The case was lodged in a district court in Clark County, Nevada, and it remains to be seen how it affects Bord’s ongoing Wednesday takeover, which is still pending green light from the English Football League.

Cohen’s legal team, Holland & Hart LLP, claim that Bord misled their client over the true financial position of the Spanish club and also wrongfully took control of a bitcoin account worth around $6 million.

According to court documents reviewed by SportsToday, Bord encouraged Cohen to buy a stake in the club after informing him that Cordoba was debt-free.

He now alleges that the club was in fact carrying debts of around $23m (£16.9m) at the time.

Cohen argues that this information was crucial to his decision and that he would not have invested had he known the club’s true financial position.

He initially agreed to purchase a 6.89% share in the club, which he later increased to 10% at a reported cost of around £3m.

The lawsuit argues that this decision was based on information that Cohen now believes was false.

In addition, Cohen says that Bord failed to formally confirm his stake in Cordoba through a written contract, ignoring numerous notifications to do so.

He also claims that Bord later offered him what was described as a “coupon” linked to the future sale of Cordoba, instead of repaying money that Cohen says he was owed.

Bord and Cohen were once close friends who met on the professional poker circuit and won bracelets at the World Series of Poker. But over time, their relationship extended into business.

According to the legal filing, they supported each other’s poker careers and invested millions of dollars together. They were also described as long-term partners in high-risk ventures.

Cohen’s legal team said that their client should be awarded “punitive damages” because Bord “is guilty of oppression, fraud and malice toward Cohen”.

Cohen also made several other claims against Bord, including fraudulent inducement, unjust enrichment, and a breach of confidence.

Bord’s representatives have since responded to the allegations.

A spokesperson for Bord said: “This is a deeply upsetting matter for James, who has, over the past few years, helped and supported Jonathan financially and personally, and has long considered him a friend.

“Due to this now being subject to legal proceedings in the US, we can offer no further comment.”

Tensions are said to have increased during a visit to Cordoba about a month after Cohen’s investment.

During that trip, Cohen claims he experienced “some sort of battery error” with his crypto wallet, which held roughly $6m worth of bitcoin.

Cohen’s lawyers said: “Concerned that he may lose access to his cryptocurrency entirely, after discussing the matter with Bord, Cohen decided to transfer his bitcoin, totalling 96.4191 BTC, to Evan Sofer, Bord’s trusted business partner.”

They also claimed that Cohen transferred the bitcoin to Sofer for “safe-keeping, only, and in no way intended or implied that the bitcoin was free to be used by Sofer and Bord”.

However, the complaint alleges that the bitcoin was quickly moved from Sofer to Bord and that the English businessman did not return it immediately.

At one point, after Cohen lost a poker game, he reportedly asked Bord to use the bitcoin to settle the debt. He was told that this could not be done.

Cohen claims that only part of the money was eventually returned via a wire transfer. Bord then reportedly offered Cohen a $1.6m “coupon” for Cordoba for the rest of the money owed.

Cohen says he was told he could cash in that coupon when the club was eventually sold, an arrangement his legal team argues was unfair.

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