Ryan Kavanaugh's Relativity Media Sued for $44M

Ryan Kavanaugh, the media mogul behind Relativity Media, is facing yet another challenge.

Last year, residents in West Hollywood West, an area made up of almost 1,000 single-family homes north of Beverly Boulevard, complained of the pilot's atop the Sofitel. This year, it's a pretty hefty lawsuit from one of Relativity's original investors, Aramid Entertainment Fund.

Deadline broke news the Cayman Islands-incorporated investment company filed a 48-page complaint Wednesday in Los Angeles Superior Court. Registered by L.A. law firm Jeffer Mangels Butler & Mitchell LLP, the lawsuit allegations include breach of contract and fraud, among other complaints.

The suit's introduction states:

This is one of the greatest heist stories ever told in the movie business. It involves a stunning cast of corporate characters: one of the world's largest entertainment companies, the third largest bank in America, on the world's largest hedge funds, and a vehicle two of them helped bring to life in order to finance over $1 billion worth of feature films.

Variety reports plaintiffs Aramid Entertainment Fund Limited and Aramid Grantor Trust are seeking restitution and damages of at least $44 million.

Both allege that "Relativity grew too big too fast," that the company's "unprofitable acquisitions of Rogue Pictures and Overture Films led to a massive overhead its finances couldn't sustain," according to Variety.

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