A class-action lawsuit against celebrities allegedly promoting the now-bankrupt FTX has gained the cooperation of ex-exchange executive and compliance chief Daniel Friedberg.
Class-action attorneys filed a proposed amended complaint in Florida District Court on May 11, alleging that Friedberg presented evidence that the FTX promotion originated in Florida.
Friedberg is FTX's chief regulatory officer and chief compliance officer for FTX US, the exchange's US arm. The statement could counter key defenses advanced by some of the defenders, who claim that the Miami courts lack jurisdiction and that the allegations have nothing to do with florida .
In sworn testimony, Friedberg said FTX US vice president of business development Avinash “Avi” Dabir, based in Miami, was in charge of FTX's brand ambassadors, including the defenders in the case among them former basketball player Shaquille O'Neal ( Shaquille O' Neal, comedian Larry David, retired NFL player Tom Brady and FTX founder Sam Bankman-Fried. He said Dabir will be operating out of FTX's offices in Miami “early 2021.” Class-action attorneys said this refutes arguments made by defenders in their motion to dismiss. Some so-called promoters claimed that it was "impossible to 'engineer in Florida' any plot, as FTX doesn't even have plans to move to Miami until late September 2022," and this was before they signed their alleged promotional deal.
Class action attorneys are amending their lawsuits with new evidence in an attempt to address judicial claims made by defendants in the lawsuit. The court will decide whether the evidence is sufficient. The lawsuit was first filed in mid-November, shortly af ter the exchange collapsed. Other so-called celebrity promoters include Brady's then-wife and model Gisele Bundchen, entrepreneur Kevin O'Leary and basketball star Stephen Curry and his team, the Golden State Warriors. Friedberg was also named as a defender in the Dec. 16 amended comp laint.
The former compliance chief has reportedly assisted in other legal proceedings against the exchange he once worked for. Investigators from the New York District Attorney, the Justice Department, the FBI and the Securities and Exchange Commission allegedly obtained details about FTX from Friedberg just weeks after the exchange collapsed.
