Hassan Maishera
TL;DR
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Kathleen Allman, mother of late Ondo Finance founder Nathan Allman, is seeking control of the company through a Delaware lawsuit.
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She alleges Ian De Bode assumed the CEO position without approval from a valid board.
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Allman claims her role as representative of her son’s estate gives her a controlling voting interest in Ondo.
Kathleen Allman, the mother of late Ondo Finance founder Nathan Allman, has filed a lawsuit seeking control of the tokenization company and the removal of Ian De Bode as its chief executive and president.
The verified complaint, filed in the Delaware Court of Chancery, alleges that De Bode improperly presented himself as Ondo’s CEO following Nathan Allman’s death and attempted to become the company’s sole director without valid board approval.
Kathleen Allman argues that, as the personal representative of her son’s estate, she controls enough voting shares to restructure Ondo’s board. The public version of the complaint redacts the precise size of the estate’s voting interest and Nathan Allman’s cause of death.
De Bode has denied the allegations and said they will be shown to be without merit in court.
Dispute Follows Nathan Allman’s Death
Nathan “Nate” Allman, a former Goldman Sachs employee, founded Ondo Finance in 2021. The company announced his death in late May and said its president, Ian De Bode, would take over as CEO.
Kathleen Allman’s lawsuit challenges the validity of that transition.
The complaint states that Ondo’s board had two seats at the time of Nathan Allman’s death. He occupied one, while the other was vacant. The filing therefore argues that the company had no directors capable of formally appointing a new chief executive after he died.
Kathleen Allman alleges that De Bode nevertheless began presenting himself as CEO, claiming that he had automatically inherited the position without requiring board action.
The complaint, filed on July 24, alleges that De Bode tried to install himself as Ondo’s sole director shortly after the founder’s death.
Allman further claims he used company resources to pressure her into signing corporate documents that would support his attempt to assert control over the business.
The filing notes that Kathleen Allman was known affectionately within the company as “Mama Ondo.”
De Bode disputes her account and continues to identify himself as Ondo Finance’s CEO.
He said the company retains the support of major stakeholders, including its lead investors and the Ondo Foundation. He added that the leadership team remains committed to the company, its clients and Nathan Allman’s goal of building a more accessible financial system.
Founder’s Estate Claims Controlling Voting Power
A Hawaii court appointed Kathleen Allman as the personal representative of Nathan Allman’s estate in late June, according to the complaint.
Approximately two weeks later, she executed a written stockholder consent appointing herself as Ondo’s sole director. She subsequently expanded the board to four seats and appointed Gordon Liao and Tahnee Towill.
Liao declined the appointment for reasons unrelated to the dispute, according to the filing. Towill, a Hawaii-based executive recruiter, is Nathan Allman’s sister.
The complaint also alleges that Ondo refused to provide Allman with a complete stockholder list and the corresponding contact information.
On July 24, Kathleen Allman and Towill voted to remove De Bode from all positions at Ondo, including his roles as an officer, employee, consultant and president.
The board also appointed Kathleen Allman as chair, CEO, secretary and treasurer.
According to the complaint, De Bode and Ondo General Counsel Mark Janoff attended the meeting. The lawsuit asks the court to recognize the Allman-led board and validate its actions.
De Bode said the decision to pursue litigation was regrettable and not in the interests of Ondo, its employees, stockholders or broader ecosystem. He added that the existing board had attempted to work constructively with the Allman estate.
Representatives of the Allman-led board said it remains committed to Nathan Allman’s belief that on-chain markets represent the future of finance.
The group said it intends to maintain the company’s operations and support its employees while searching for a successor to the late founder.
De Bode similarly said the current leadership team remains focused on protecting Ondo’s momentum and advancing Nathan Allman’s vision.
The conflicting statements underscore the central question before the Delaware court: which group has the legal authority to govern and operate Ondo Finance.
Ondo Remains a Major Tokenization Platform
The latest power dispute is affecting the ONDO token, with the coin down by more than 6% in the last 24 hours.
Ondo specializes in bringing traditional financial products onto blockchain networks. Its main offerings include tokenized U.S. Treasurys, stocks and exchange-traded funds, alongside products such as USDY and OUSG.
The company has emerged as a prominent participant in the real-world asset tokenization sector. Its ONDO governance token has a market capitalization of nearly $2 billion.
Ondo raised $20 million in a Series A funding round in 2022. Its investors include Founders Fund, Coinbase Ventures, Tiger Global and Wintermute.
The lawsuit creates uncertainty around the company’s leadership, although both sides say they are working to prevent disruption to Ondo’s products and ecosystem.
