Entertainment

Tom Brady, Giselle Bündchen, Larry David Sued In FTX Class Action Suit – Deadline

“I’m never wrong about this stuff, never,” said a dismissively and mockingly Larry David earlier this year now infamous Super Bowl advertising to invest in cryptocurrency transactions ftx,

when seinfeld co-creator debunked the wheel, coffee, the US Constitution, electricity, putting a man on the moon and more innovations in the much-acclaimed commercial, it looks like David may have been right about the now-collapsed FTX, which all Do it for good.

with choice tom brady, Gisele Bundchen, Stephen Curry and the Golden State Warriors, Shaquille O’Neal, and Naomi Osaka, David is a defendant in a class action suit against the now-hollowed FTX and its ex-CEO Sam Bankman-Fried.

“In addition to defendant Sam Bankman-Fried’s conduct, as described in this complaint, some of the biggest names in sports and entertainment have either invested in FTX or been brand ambassadors for the company,” the complaint filed in the jury trial. have been asked to do. By Edwin Garrison today in federal court in Florida on behalf of all “American consumers” who “collectively suffered more than $11 billion in damages” from the recent FTX crash. Graphics Heavy Class Action adds, “Many of them promoted FTX to their social media fans, driving retail consumer adoption of the deceptive FTX platform.”read it here,

In curry’s case, nba Legend admitted in another tongue-in-cheek-ish TV spot that he was not knowledgeable about crypto. Looking at the camera, he added: “I don’t need to be. With FTX I have everything I need to buy, sell and trade crypto securely.

Maybe not so much now that he and others have to hire lawyers.

The filing, by attorney Adam Moskovitz and a brigade of other lawyers, states that the heavy use of celebrities persuaded consumers to “pour billions of dollars into the deceptive FTX platform to keep the whole scheme going.” “The deceptive FTX platform maintained by FTX Entities was in fact a house of cards, a Ponzi scheme where FTX Entities made their profits using new investor funds obtained through investments in YBA and using loans to pay interest. shuffled client funds between opaque affiliated entities. To attempt to maintain the appearance of old and liquidity,” it also says to get at the larger point.

And here is where it can get really sticky for the celebs who lent their name and image to FTX.

“Importantly, although the defendants disclosed their partnership with the FTX entities, they did not disclose the nature, scope, and amount of compensation they personally received in exchange for promoting the deceptive FTX platform, which the SEC explained that the disclosure Failure to provide this information would be a violation of the anti-broking provisions of the federal securities laws,” the detailed filing notes. “Furthermore, none of these defendants conducted any due diligence prior to marketing these FTX products to the public.”

Bahamas-based FTX and its corporate cousin crypto trader Alameda Research, valued at more than $32 billion earlier this year, filed for Chapter 11 bankruptcy last week. The drastic crash of the world’s third-largest crypto exchange came as Bankman-Fried and other executives fail To woo more investors to help offset the billions and billions in losses over doubts in the company’s business model and asset management. It probably didn’t help either that FTX is under investigation by the FTC, DOJ and others for moving investors’ cash around without permission.

Citing recent rulings and fines against the likes Kim Kardashian And over the non-disclosure of ex-Boston Celtics Paul Pierce endorsement compensation, the complaint seeks unspecified actual, direct and compensatory damages that could run into the nine-figures and depending on the consumer base FTX may attract.

There is no doubt that all the big names will hire big lawyers to help get them out of here. However, he may have to flip through the old Rolodex a bit more than usual as a celeb attorney. David Bowes actually assisting in representing the garrison in this action. In the meantime, though, check out the Larry David ad that everyone found so amusing during the 2022 Super Bowl: