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Nathaniel Rothschild has filed a lawsuit against financier Lars Windhorst less than six months after the scion of the banking empire agreed to become chairman of the German businessman's investment firm.
Lord Rothschild sued Windhorst and Tennor International, his Swiss investment vehicle, in London's high court on Wednesday, according to court records. Nathaniel Rothschild inherited the British throne when his father Jacob, the fourth Baron Rothschild, died last year.
Court records show the lawsuit is related to a contract dispute, with no details publicly available. However, a Rothschild spokesman told the Financial Times that it was related to the alleged debt default.
“This relates to a separate matter separate from Lord Rothschild's investment in Tennor, where he extended a short-term debt facility to Mr Windhorst personally, which is now in default,” a Rothschild spokesman said. “He is disappointed that he did this.”
Windhorst declined to comment on the lawsuit, which was first reported by Bloomberg.
Windhorstthe flamboyant German financier known for his lavish lifestyle and history of legal troubles, courted Rothschild to be his new business partner last year.
During a party at Windhorst's Mayfair offices in July, Rothschild announced that he will take a minority stake in investment firm Tennor and become its executive chairman.
“I will devote all my time to this effort,” Rothschild said at the time. I've never seen someone work as hard as Lars, it's really amazing.
In a- FT interview last month, Windhorst said: “I am delighted, and indeed delighted, to have Lord Rothschild with us.
Windhorst shot to fame as a teenager in the 1990s, when Helmut Kohl, then German chancellor, hailed him as a business wunderkind.
However, his business career has been plagued by legal disputes and the collapse of several businesses. Several creditors have chased him to get his money back at London's high court in recent years.
His Dutch investment vehicle Tennor Holding has faced several bankruptcy filings in the Netherlands, with the group's former general counsel Peter Calamari filing a new claim last month. Calamari did not respond to a request for comment.
German shipbuilder Tennor Holding also filed for insolvency last month, putting 500 jobs at risk.
With Tennor Holding dealing with claims from creditors, Windhorst has in recent years pursued new deals with Tennor International.