October 21, 2015
KIT Capital Statement
Last month, we were advised of certain charges filed by U.S. authorities in the Southern District of New York State (U.S.) against Kaleil Isaza Tuzman, founder of KIT Capital.
As such, we would like to clarify the following:
1) The accusations: The accusations in question are related to financial matters during Kaleil’s 2008-2011 tenure at KIT Digital, Inc., a publicly traded company that was based in New York and Prague, Czech Republic, (“KITD”). The charges are being brought against Kaleil individually as former Chief Executive Officer of KITD, and against Mr. Robin Smyth, former Chief Financial Officer of KITD. No other individual or corporation has been accused of any wrongdoing, and Kaleil faces no accusations of any kind under Colombian law.
2) KIT Digital vs KIT Capital: KITD (which was rebranded as “Piksel, Inc.” in 2012) and KIT Capital are separate and unrelated companies. KITD is a software and technology services company that Kaleil became involved with in 2008, focused on Internet-Protocol video management tools. KIT Capital, on the other hand, was founded in 2001 (under the original trade name “Recognition Group”), and has historically focused on venture investments, merchant banking and real estate development. Mr. Smyth has never had any role with KIT Capital. KIT Capital’s current flagship project is the development of a luxury hotel in the Getsemaní neighborhood of Cartagena, Colombia (KIT Capital has been involved in real estate development in Colombia since 2003). KIT Capital was founded by Kaleil, but its legal identity and structure are autonomous. Obra Pia, Ltd. and Ashoka Colombia, Ltd. continue to operate in Colombia under an autonomous capital structure and are completely unrelated to KITD.
3) KIT Capital Management and Kaleil’s Current Role: Kaleil has not had any affiliation with KITD since April 2012. He has been Managing Director of KIT Capital since its inception in 2001, but stepped down from this role on September 10, 2015 in order to concentrate on his current legal defense. KIT Capital continues operating under the day-to-day direction of Ms. Amanda Blaurock, who has assumed the role of Acting President and was formerly Executive Vice President and General Counsel of KIT Capital. The KIT Capital executive team continues to include Mr. Rosario Davi (Chief Operating Officer, with KIT Capital since 2002) and Ms. Clarena Mulett (Senior Project Manager, with KIT Capital since 2005). The management team will continue to execute on-going projects and protect the interests of co-investors, partners, employees, suppliers and other KIT Capital stakeholders. Kaleil’s father, Luis-Orlando Isaza, will continue to serve as a Senior Adviser to the KIT Capital management team.
Again, while we wish to make it clear that KIT Capital and its projects are separate and independent of its founder’s personal and legal situation, we ask that the presumption of innocence be applied and that judgments be suspended until Kaleil has the opportunity – through the due legal process in the United States – to appropriately respond to the allegations made against him. We stand by our founder in this difficult time and encourage our stakeholders to do the same.
Should you have any questions, please do not hesitate to contact us.
The KIT Capital Team