John Leguizamo’s Company Co-Founder Sues GoDigital Over Buyout

GoDigital Media Group LLC is facing litigation in Delaware over claims it duped ex-owners of NGL Collective—a Latino-focused digital media business co-founded by the actor John Leguizamo—into a fraudulent buyout deal.

The lawsuit targets GoDigital and three affiliates, as well as a law firm that allegedly helped cover up their scheme to engineer a transaction consisting largely of deferred payments they had no intention of making. GoDigital runs mitú, the media brand geared toward Latinos that it combined with NGL to form NGLmitú.

GoDigital lured NGL into the deal “through a knowingly false representation and promise, despite knowing that ...