GUB Unternehmensbeteiligungen, a German early stage high-tech investor, is blaming Gerald Glasauer, its founder and former chief executive, after the German court of Heilbronn started insolvency proceedings against it.

The venture capital firm is accusing Glasauer of a breach of contract which has cost the firm €700,000 ($618,119) in management fees since the beginning of 2002 and forced it into the arms of the court, as the first high profile casualty of Germany's boom in venture capital.