KEY POINTS

  • Richard Kofoed filed for personal bankruptcy in 2020
  • Kofoed's business partners claimed he took their share of profits from his PPE business
  • Kofoed is also facing other lawsuits over taxes and failed payments

A serial entrepreneur from California who donated funds to support Republican campaigns has been accused of embezzling money from his business partners. 

During the start of the COVID-19 pandemic in early 2020, Richard Kofoed filed for personal bankruptcy. He later partnered with two other companies to form a business that sold personal protective equipment to Americans.

Kofoed began donating large sums of money to former President Donald Trump, the Republican National Committee, and other GOP figures. However, one of Kofoed’s business partners later accused him of stealing their share of the profits from the PPE business to help pay for his lifestyle and his donations. 

“Kofoed has spent that money funding a lavish lifestyle, including family vacations and trips on private jets around the country, including to the 2020 Republican National Convention, and on substantial political donations. In short, Kofoed has absconded with the profits due to Krystal Ventures under the agreement and is using them for personal gain,” said a lawsuit, filed in Los Angeles County Superior Court, in October 2020.

Kofoed later filed a countersuit dismissing the claims. He also accused his business partners of defrauding the company with padded invoices. 

An analysis by Forbes estimates that Kofoed donated at least $128,000 in air travel and $701,000 in cash to the Republican Party, including $64,000 to support Trump’s re-election campaign. The businessman was also said to have donated $8,000 for South Dakota Gov. Kristi Noem’s re-election. Additionally, Kofoed also moved into a home next to Trump’s Mar-A-Lago property. 

The lawsuit is currently undergoing pre-trial motions, with the next hearing set for April 6, 2022, in Los Angeles, California. 

Apart from the accusations of fund embezzlement, the state of Delaware also said that SNS Global USA, Kofoed’s PPE venture, did not pay its taxes on time. In April, Semper Solaris Construction Inc. also filed a mechanics lien against Kofoed, noting that the businessman owes them $42,000.

In September, private aviation firm Trilogy Aviation also accused Kofoed of cheating it on a $42,000 charter flight in a lawsuit filed in California. A contractor also accused the Kofoed family of failing to pay him $110,000 worth of work on their home. 

Businessman and former US president Donald Trump has been raising big money from institutional investors for his fledgling social media venture Businessman and former US president Donald Trump has been raising big money from institutional investors for his fledgling social media venture Photo: AFP / MANDEL NGAN