Brian Kahn, Willkie Sued in Fraud Case by Rebranded B. Riley (1)

BRC Group Holdings Inc., the firm rebranded from B. Riley, filed a fraud lawsuit against Franchise Group Inc. founder Brian Kahn and the law firm that advised it, Willkie Farr & Gallagher, over FRG’s deal to take the company private in 2023.

Kahn perpetrated a “sophisticated fraud” to secure more than $735 million in financing for the $2.8 billion transaction, the lawsuit claims. The deal helped Kahn pay off “massive personal debts” as he was under criminal and civil investigation for an unrelated hedge fund fraud, according to the complaint. Kahn pleaded guilty last month to his ...