Jury Hits Ex-Treasurer Gu with $367K in Corporate Theft Case
Table of Contents
Case Background
This lawsuit involved a significant commercial dispute between the Plaintiff, Oamic Ingredients, LLC, a business entity, and the Defendant, Steven Z. Gu, who was identified as the Treasurer of Oamic Ingredients. The company initiated the action in the Superior Court of Connecticut, Judicial District of Stamford-Norwalk, in October 2023. The claims revolved around allegations that Mr. Gu misused his position and misappropriated company funds and assets while serving as Treasurer. The case escalated quickly, transitioning from initial pleadings to a full jury trial to resolve the serious allegations of financial misconduct and breach of trust.
Cause
The central cause of action stemmed from Steven Z. Gu's alleged financial misconduct while acting as Treasurer of Oamic Ingredients. The company contended that Mr. Gu took actions that directly violated his contractual and fiduciary duties to the company. Specifically, Oamic Ingredients claimed that Mr. Gu improperly converted company funds and committed acts that constituted civil theft under state law. These actions, Oamic asserted, resulted in substantial financial losses for the business.
Injury
Oamic Ingredients, LLC, claimed it suffered significant financial injury and loss due to Mr. Gu’s alleged misconduct. The injury included the direct loss of the funds and assets that Mr. Gu had purportedly converted, as well as the damages stemming from the breach of contract. The company sought to recover these losses to stabilize its operations and compensate for the Defendant’s unauthorized use of corporate resources.
Damages Sought
Oamic Ingredients sought recovery for all financial losses it sustained. The claim included compensation for the specific funds and assets allegedly converted, as well as liquidated damages specified under the relevant contract. Crucially, given the nature of the claims, Oamic also pursued punitive measures, including treble damages (three times the actual damages) for the statutory civil theft claim and punitive damages for the breach of fiduciary duty claim, signaling the serious nature of the alleged offenses.
Key Arguments and Proceedings
The dispute, docketed as FST-CV23-6063464-S, progressed rapidly through the Court system, culminating in a jury trial in the Stamford Superior Court. The proceedings focused on unraveling the financial transactions and determining whether Mr. Gu's actions crossed the line from standard financial management to illegal misappropriation.
Legal Representation
Plaintiff(s): Oamic Ingredients, LLC
· Counsel for Plaintiff(s): Andrew Alan Feinstein | Brittany M Barbet
Defendant(s): Steven Z. Gu
· Counsel for Defendant(s): Steven Zhoujun GU
Key Arguments or Remarks by Counsel
The trial presented a compelling narrative concerning corporate governance, employee trust, and financial oversight, with the Plaintiff trying to prove malfeasance and the Defendant trying to prove the legitimacy of his actions.
Claims
Oamic Ingredients advanced four main claims against Mr. Gu:
Breach of Contract: The company claimed Mr. Gu violated the specific terms of his agreement with Oamic Ingredients, which stipulated his duties and responsibilities as Treasurer. This breach directly resulted in a calculable financial loss to the company.
Breach of Fiduciary Duty: The company asserted that Mr. Gu, in his role as Treasurer, occupied a position of trust, making him a fiduciary of Oamic Ingredients. They claimed he violated this highest standard of trust by acting in his own interest rather than the company's, causing harm.
Conversion: Oamic claimed that Mr. Gu had unlawfully and improperly converted or took possession of specific company funds or property for his own use, thereby depriving the company of its assets.
Statutory Civil Theft: This was the most serious claim, asserting that Mr. Gu’s actions met the standard for theft under Connecticut General Statutes, which allows for the recovery of treble damages.
Defense
Steven Z. Gu, acting as his own attorney, mounted a vigorous defense, formally denying all core allegations of misconduct. He specifically denied the claims of unauthorized fund transfers, maintaining that his actions fell within his duties as Treasurer. He also filed counterclaims, seeking specific performance from Oamic to remove him as a signer and guarantor on all company bank accounts and relieve him of his fiduciary duties, suggesting he had sought to distance himself from the company’s affairs but could not do so unilaterally.
Jury Verdict
After receiving the evidence and instructions on complex business and fiduciary law, the jury began deliberations. On October 7, 2025, the jury returned its verdict to the Superior Court in Stamford.
The jury found the issues in favor of the Plaintiff, Oamic Ingredients Llc, against the Defendant Steven Gu on the Plaintiff's claims.
The jury awarded the following damages:
Compensatory Damages (for Breach of Fiduciary Duty, Conversion, and/or Statutory Civil Theft): $327,593.05
Liquidated Damages (for Breach of Contract): $40,000.00
Total Compensatory and Liquidated Damages: $367,593.05
Crucially, the jury also found in favor of the Plaintiff on the punitive claims:
Treble Damages (Count 4 Statutory Civil Theft): YES
Punitive Damages (Count 2 Breach of Fiduciary Duty): YES
The jury’s decisive findings indicated they believed Mr. Gu had acted improperly and intentionally. The verdict confirmed not only that Mr. Gu breached his contract and his duty of trust but also that his actions met the high legal standard for statutory civil theft, paving the way for the Court to dramatically increase the final monetary judgment against him by trebling the compensatory damages and adding punitive damages.
Court Documents