Suit filed against Cornell Capital in bankruptcy court

The company acquired World Kitchen in 2017.

Cornell Capital LLC, the former owner of Instant Brands, has been accused of misleading lenders about the company’s performance in order to extract a $345 million dividend that helped drive the Instant Pot maker into bankruptcy.

A lawsuit was filed Wednesday against the private equity firm, its founder Henry Cornell and former Instant Brands executives in United States Bankruptcy Court in the southern district of Texas by Alan D. Halperin, litigation t...