Hedge fund vehicle files Chapter 11 as American Express pursues $370,000 claim against Jason Ader
26 Capital Acquisition Corp entered bankruptcy after a failed $2.5 billion casino takeover; court papers show American Express seeks to recover charges tied to luxury spending in Monaco.
A special-purpose acquisition company tied to investor Jason Ader filed for Chapter 11 bankruptcy in July after a failed $2.5 billion takeover of the Philippines' largest casino, and American Express has sued Ader seeking roughly $370,000 in unpaid charges, according to court papers and reporting.
The filing names 26 Capital Acquisition Corp., a SPAC linked to Ader, whose name has been associated with high-profile activist investing and media appearances. The bankruptcy proceeding follows the collapsed bid for the casino, which creditors and counsel cite as a key factor in the fund's distress.
Court filings provided to news outlets say American Express is attempting to recover roughly $370,000 in overdue balances from a collection of Ader's accounts. The documents identify multiple American Express products, including two Platinum cards, a Delta SkyMiles account and a Centurion (the invitation-only "Black") card. The filings cite a $9,000 charge on the Centurion card at a Christian Dior boutique in Monaco in August 2024 as an example of the purchases listed in the suit.
The AmEx action seeks to claw back the balances as unsecured claims in the bankruptcy, according to the filings. The lawsuit and the bankruptcy petition are separate but related legal steps: the bankruptcy protects the SPAC entity while creditors, including American Express, pursue recovery through the bankruptcy process.
Additional filings and reporting indicate Ader also has been the subject of a civil suit brought by a family member. Separate court papers show that his mother sued him over unpaid bills, an episode that has drawn media attention to the investor's personal finances amid the SPAC's collapse.
Jason Ader, 57, rose to prominence as a Wall Street investor and has appeared on business news networks. His involvement in activist campaigns and special-purpose acquisition vehicles drew scrutiny after the failed takeover, which left the SPAC with liabilities and prompted the Chapter 11 filing in July.
Analysts and restructuring lawyers said that SPACs that undertake large acquisitions can face rapid creditor pressure when deals fall apart or are otherwise impaired. Chapter 11 allows a debtor to reorganize and negotiate with creditors, and the course of 26 Capital Acquisition Corp.'s reorganization will depend on the estate's assets, outstanding claims and any potential recoveries from previously negotiated transactions.
Media reports described aspects of Ader's personal spending that are referenced in the AmEx complaint and accompanying exhibits, but the claim by American Express must be resolved through the court process. The Centurion card, known for high limits and exclusive service, figures prominently in the creditor's documentation of the balances it seeks to collect.
The bankruptcy filing for 26 Capital Acquisition Corp. and the American Express suit are active matters in federal court. Documents filed by creditors and the debtor will determine priorities and potential recoveries for unsecured claimants. Further developments, including creditor meetings and any proposed reorganization plan, will be docketed and become part of the public record as the Chapter 11 case proceeds.