Jul 15, 2016

    Hyperloop One may be derailed by co-founder's lawsuit


    A HYPERLOOP One co-founder is suing the start-up and accusing former colleagues of nepotism, threats and mismanagement, igniting a drama that could stall the company devoted to revolutionising transport systems.

    Brogan BamBrogan, who left the company in June, was among complainants in a civil suit filed in a California state court on Tuesday.

    "It became apparent that those in control of the company continually used the work of the team to augment their personal brands, enhance their romantic lives and line their pockets," the lawsuit said.

    Orin Snyder, an attorney representing Hyperloop One, called the lawsuit an "unfortunate and delusional" effort by employees behind a failed coup at the start-up.

    He vowed a swift and strong legal response. "Hyperloop is on track, its board and team are united and today's bogus lawsuit will have no impact on its goal of becoming the first company to bring the Hyperloop to the world," Mr Snyder said in a statement.

    The case comes two months after Hyperloop One held its first public test in the desert outside Las Vegas, trying out engine components designed to propel pods carrying people or cargo through tubes at speeds of 1,125kmh or more.

    The company hopes to realise a futuristic vision for transportation at near-supersonic speeds laid out three years ago by billionaire Elon Musk, the entrepreneur behind electric car company Tesla and private space exploration endeavour Space X.