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Josh Raffaelli, a seasoned Silicon Valley investor with ties to several Elon Musk companies, has launched a lawsuit against his former employer, the trillion-dollar asset management firm Brookfield Asset Management, according to a report by The New York Times.

The core of Raffaelli’s complaint revolves around Brookfield’s handling of pandemic-related real estate losses, as well as allegations that the company terminated his employment after he filed a whistleblower complaint with the SEC. His lawsuit includes accusations of fraud and bribery, which Brookfield has categorically denied, as stated to The Times.

In a move that garnered little attention in February, Brookfield closed down the venture capital unit led by Raffaelli, transferring some assets to another unit, as reported by Bloomberg at the time. One of the key grievances outlined in Raffaelli’s lawsuit is that Brookfield failed to acquire as much stock in Musk-owned companies as he had initially secured the opportunity to purchase.

According to the lawsuit, Raffaelli had negotiated deals to invest in several Musk companies, including SpaceX, xAI, and the Boring Company. Furthermore, his Brookfield fund played a significant role in supporting Musk’s acquisition of Twitter, as previously reported by Bloomberg.

This lawsuit marks a highly publicized dispute for Raffaelli, who previously held a partner position at the venture capital firm formerly known as Draper Fisher Jurvetson (now a collection of funds). During his tenure at DFJ, Brookfield collaborated with the firm to invest in various Musk companies, such as SolarCity (acquired by Tesla), SpaceX, and Tesla.


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