NEW: Accused Fraudster Loffredo Files Lawsuit Against Former Employee “Billy” Seeking to be Awarded GoFundMe Account

NEW: Accused Fraudster Loffredo Files Lawsuit Against Former Employee “Billy” Seeking to be Awarded GoFundMe Account

Accused fraudster Andrew Loffredo is striking back and suing one of his alleged victims. In a lawsuit filed in Providence Superior Court on Friday, Loffredo is suing his former employee “Billy” — a man for worker for Campanella’s Restaurant for about 30 years.

Earlier this week, Billy told GoLocal and was supported by bank documents provided to GoLocal, that Loffredo borrowed $475,000 from Billy, which was nearly all of his retirement funds. 

Loffredo is seeking donations to help Billy from a GoFundMe account established for the former employee.

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At the time Loffredo allegedly borrowed the money, he told Billy, in part, that he needed the money for medical treatment for his sick child.

Loffredo bought the Campanellas’ in August of 2024 from the family, and in just 20 months, the restaurant was forced to close. Campanella’s and more than a dozen other business entities are now in the control of a court-appointed receivership.

Over the decades, Billy did everything from maintaining the restaurant's exterior to cleaning the floors, and he served as a prep cook in the kitchen over the decades

 

GoFundMe Is Now a Target of Loffredo's Lawsuit

After GoLocal’s report, friends created a GoFundMe account to help Billy.

The fundraiser is titled “Help Bill Recover Retirement & Keep His Home.”   The campaign writes, “Bill has been a loyal friend and employee for decades, working as a Prep Cook at our restaurant for 27 years. We have known Bill for 40 years, and throughout that time, he has always been hard-working, honest, and someone who sees only the good in others. Bill saved every paycheck and lived well below his means, building up his retirement with care and dedication.”

“Recently, we sold our business to a new owner who also purchased other businesses. The new owner convinced Bill that his young son needed a special surgery and asked Bill for help. Trusting the owner, Bill emptied his entire retirement account and handed over hundreds of thousands of dollars, believing he was doing the right thing. The owner promised to pay Bill back in two weeks, but that never happened. Instead, the new owner’s businesses were put into receivership due to mismanagement, forgery, identity theft, and other serious charges. Bill is now left without his retirement savings, out of a job, and devastated by the betrayal,” states the GoFundMe.

“The funds raised here will help Bill keep his home, pay his taxes, and rebuild his retirement. With the restaurant in receivership, Bill is also owed paychecks that have bounced and is facing an uncertain future. We are devastated for Bill and are asking for your help to support him during this difficult time. Any contribution will make a difference and help Bill get back on his feet,” adds the GoFundMe.

To date, the effort has raised $22,680.

With the restaurant's closing, Billy is now taking on landscaping work.

Loffredo has targeted the proceeds of the GoFundMe to be turned over to him in the lawsuit.

 

Loffredo’s Lawsuit

Loffredo claims in his suit that Billy, whose last name is Zwoden, has libeled and slandered him, placed him in false light, invaded his privacy and other claims.

 

Loffredo's lawsuit claims:

On or about May 19, 2026, Defendant spoke with GolocalProv and made statements concerning Plaintiff and the private written loan agreement.

Defendant knew or should have known that his statements would be published to the public.

Defendant falsely stated to GolocalProv, or caused GolocalProv to publish, that Plaintiff borrowed $475,000 from Defendant, described as nearly all of Defendant's retirement funds.

Defendant falsely stated to GolocalProv, or caused GolocalProv to publish, that Plaintiff claimed money was needed for Plaintiff's sick child.

Defendant falsely stated to GolocalProv, or caused GolocalProv to publish, that Plaintiff claimed his child needed medical procedures and that insurance would not cover those procedures.

Loffredo, who is serving as his own lawyer in the lawsuit, writes in the suit, “Plaintiff does not plead the full private terms of the written loan agreement in this Complaint. The written agreement exists and will be produced in discovery or submitted under seal if required by the Court.”

 

Loffredo Tells GoLocal

GoLocal asked Loffredo to produce a copy of the “loan agreement” and Loffredo said, “To avoid unnecessarily embarrassing anyone, I haven’t shared the agreement. As I’ve mentioned before, I believe Billy was one of the hardest-working employees I had at Campenella’s, and I feel he may be being influenced by others in pursuing this matter. My goal is not to create conflict or embarrass anyone, but rather to resolve these issues directly with Billy so everyone can move forward. I have also made multiple attempts to contact him personally, but unfortunately I haven’t been able to reach him.”

“I don’t understand why he wouldn’t return my calls so we could resolve this privately and avoid the time, expense, and embarrassment of a court battle playing out publicly or through the press. He has his position, and I have mine, but I believe we both ultimately want to find a resolution. Trying to litigate this through the media is not productive. If he’s unwilling to speak directly by phone or through counsel, then this is the only avenue left for me to communicate. Hopefully, he reaches out so we can finally put this matter behind us once and for all,” Loffredo told GoLocal

 

Loffredo in the lawsuit seeks:

Plaintiff respectfully requests that this Court enter judgment in his favor and award:

A. Compensatory damages in an amount sufficient to establish Superior

Court jurisdiction;

B. Presumed damages where allowed by law;

C. Punitive damages where allowed by law;

D. A norder requiring Defendant to remove, correct, or retract statements adjudicated false, subject to constitutional limits;

E. An accounting of GoFundMe or crowdfunding proceeds connected to the false statements;

F. Permission to submit the private written loan agreement under seal if required by the Court;

G. Costs, fees where allowed by law, and any other relief this Court deems just and proper.

 

This is just the latest in an ever-widening number of legal issues Loffredo faces — see GoLocal’s coverage below.

 

Editor's Note: GoLocal made a small donation to the GoFundMe account.