Court records reveal the organization’s leadership was formally notified of litigation ahead of its gala, intensifying scrutiny of nonprofit governance practices
(This story is part of an ongoing series on TiE New York by Darmin Bachu, a community activist with expertise in nonprofit governance and entrepreneurship.)
By Darmin Bachu
A lawsuit alleging governance failures, fiduciary breaches, and misconduct within TiE New York was filed in Queens County Supreme Court more than a month before the organization’s annual gala, according to newly reviewed court records. The filings raise fresh questions about what TiE New York’s leadership knew — and when — amid an escalating internal dispute that has now moved firmly into the judicial arena.
Court documents show that the lawsuit, brought by charter member Kesav Dama both individually and derivatively on behalf of TiE New York, was formally filed on November 11, 2025, and entered into the court system by November 14, 2025, weeks before the organization’s high-profile gala event.
According to individuals familiar with the matter and confirmed by service records referenced in the court filings, 10 of the 12 named defendants were served with legal papers at the TiE New York Gala.
The defendants include current and former board members and officers, among them then-President Jignesh Patel, Secretary Vaibhav Parikh, and multiple directors. TiE New York itself is named as both a nominal and direct defendant.
The gala — typically a celebratory fundraising and networking event — thus became the backdrop for the formal notification of litigation alleging that TiE NY’s board failed to act on repeated warnings about misconduct and governance violations.
Legal experts note that while service at a public event is unusual, it is not improper if defendants are otherwise difficult to serve or regularly appear together at scheduled functions.
Nature of the claims
The verified complaint asserts multiple causes of action, including breach of fiduciary duty, breach of contract, defamation, tortious interference with business relationships, and intentional infliction of emotional distress. The claims center on allegations that TiE NY leadership:
- Failed to investigate or discipline alleged misconduct by its president despite repeated written complaints;
- Issued what the plaintiff characterizes as an improper and demeaning demand for evidence as a delaying tactic;
- Allowed internal communications that allegedly defamed a charter member to remain uncorrected; and
- Continued governance and election activities while litigation was imminent or already underway.
The lawsuit is brought in part under New York Not-for-Profit Corporation Law §720, which governs director and officer fiduciary duties.
Order to Show Cause
Alongside the complaint, the plaintiff filed an Order to Show Cause, seeking immediate court intervention. The requested relief includes:
- Prohibiting TiE New York from spending organizational funds to defend the lawsuit;
- Halting board elections or changes to election rules;
- Preserving and producing board minutes and governing documents; and
- Staying major governance actions pending judicial review.
Justice Karina E. Alomar of the Queens County Supreme Court signed the Order to Show Cause, initially setting a hearing for December 18, 2025, according to the court’s docket.
Court records further show that Jignesh Patel requested an adjournment of the December 18 hearing, which was subsequently delayed to December 22, 2025. The reason cited was the need for additional time following service and to prepare a response to the requested emergency relief.
The adjournment came as questions mounted about whether TiE NY leadership continued routine operations — including board activity and event planning — after the lawsuit had been filed and served.
The litigation marks a significant escalation from what began as an internal governance dispute. As previously reported, the complainant had submitted formal written complaints and demand letters weeks earlier, urging the immediate suspension of the president and warning of potential legal exposure if the board failed to act.
Newly reviewed records indicate that the complainant, through counsel, complied with requests for evidence within a compressed timeframe — yet the board allegedly declined to take disciplinary action prior to the lawsuit being filed.
By the time defendants were served at the gala, the dispute had already shifted from internal review to judicial oversight.
Governance transparency under scrutiny
Nonprofit governance specialists note that derivative lawsuits, especially those seeking to halt elections and restrict use of organizational funds, are among the most serious legal challenges a nonprofit board can face.
“Once an Order to Show Cause is granted, the court is signaling that the allegations merit immediate attention,” said one nonprofit governance attorney not involved in the case. “It also raises legitimate questions about whether directors are acting independently or protecting incumbents.”
The timing of service at the gala, combined with the delayed hearing request, may now become part of a broader factual record examined by the court.
TiE New York and the individual defendants have not publicly commented on the litigation. Requests for comment were not returned by press time.
As the case unfolds, it places renewed focus on transparency, accountability, and fiduciary responsibility within one of the region’s most prominent entrepreneurial nonprofit organizations — now facing scrutiny not only from its members, but from the courts.
(Darmin Bachu is a community activist in Queens County who is an expert on nonprofit governance and entrepreneurship.)
Here are previous articles in this series:
Backdated demands, witness conflicts, and escalating legal stakes: New documents intensify scrutiny of TiE New York leadership (December 27, 2025)
New documents raise fresh questions about TiE New York leadership and board oversight (December 25, 2025)