JPMorgan Chase filed two lawsuits in Europe this month as developments continue in its legal dispute with Greek fintech Viva Wallet, in which it’s held a 48.5% stake since 2022.
The bank is suing Viva Wallet CEO Haris Karonis and three directors for €916 million, alleging they deprived JPMorgan of “the value of its investment in Viva” through illegal actions starting in March 2022, according to a source familiar with the matter.
The bank is also suing U.K. tech firm Werealize, which owns 51.5% of Viva, for allegedly breaching the shareholder agreement with JPMorgan by allowing Viva to take certain business actions without obtaining JPMorgan’s consent, the source said.
JPMorgan filed the first claim in Greek civil court Jan. 2, and the second in U.K. court the same day.
A bank spokesperson confirmed the lawsuits.
Since JPMorgan’s 2022 investment, “WRL has repeatedly and persistently sought to undermine JPM's rights by breaching the agreement that formed the basis of the firm's investment,” a JPMorgan spokesperson said via email.
“These actions harm not only Viva but also Greece's attractiveness for future significant investments,” the spokesperson said. “We now look to the courts to enforce the contract terms agreed upon between us.”
The defendants in the Greek lawsuit, including Karonis, transferred valuable assets out of Viva to Werealize without JPMorgan’s consent, and withheld information from the bank on the grounds of false competition allegations, according to the source familiar with the matter.
In the U.K. lawsuit, JPMorgan alleged that Werealize illegally proposed changes to Viva’s articles to remove JPMorgan’s consent rights over the fintech’s business plan and budget, and proposed an acquisition of a tech company without JPMorgan’s consent, the source said.
In an emailed statement, Karonis called the lawsuits “simply the latest step in JPM’s concerted effort to depreciate Viva’s value, to preclude it from expanding in the United States and elsewhere, and intimidate its directors restricting their freedom of action.”
Since JPMorgan’s investment and despite “turbulence” caused by the bank, Viva “has successfully tripled its growth … and established itself as a leading technology Bank in Europe,” Karonis said.
JPMorgan seeks damages from Viva’s executives equal to its investment in Viva, and seeks the U.K. court to force Werealize to respect its Viva shareholder agreement.
The legal saga began a year ago when Karonis accused JPMorgan of “seizing perverse incentives” to allow the bank to take full control of the fintech. Both sides expressed satisfaction in June following a ruling that seemed to lay out a new roadmap for Viva’s valuation.
Werealize did not return a request for comment.
