Shri Thanedar settles business fraud suit

    Shri Thanedar at the Mackinac Policy Conference | Andrew Roth
    Updated, 4:30 p.m., 8/26/19

    Shri Thanedar, who finished last in the 2018 Democratic gubernatorial primary, agreed on Friday to settle a lawsuit that alleged he committed fraud in the sale of his former business.

    Detroit | Creative Commons

    The settlement came before a trial would have started in Detroit on Tuesday. Thanedar recently moved to the city amid rumors that he may launch another bid for political office, although it’s unclear whether he’ll seek office at the city or state level.

    Thanedar, founder of Avomeen Analytical Services, sold his majority share of the company in 2016, before he launched his career in politics. He was then sued by Avomeen Holdings, which alleged he inflated the company’s value in the sale, making about $20 million. In the suit, Avomeen claimed between $7 million and $8 million in damages.

    In 2018,* Thanedar spent millions of his own cash on his failed gubernatorial bid, where he came in third place behind current Gov. Gretchen Whitmer and the city of Detroit’s former health director, Abdul El-Sayed.

    Thanedar was the top vote-getter in the primary in Detroit, however, narrowly edging Whitmer to win more than 35,000 votes. 

    In July, Thanedar told the Detroit News amid talk that he could next run for mayor, “I was really very moved and overwhelmed by the support I got in the city of Detroit [in the 2018 election], and I want to give back.”

    * Correction: Thanedar ran for governor in 2018. This story originally had an incorrect year.

    Derek Robertson
    Derek Robertson is a former reporter for the Advance. Previously, he wrote for Politico Magazine in Washington. He is a Genesee County native and graduate of both Wayne State University, where he studied history, and the Medill School of Journalism at Northwestern University.

    LEAVE A REPLY

    Please enter your comment!
    Please enter your name here