According to lawyers who sued backers of the now-bankrupt crypto exchange celebrity, Taylor Swift is one of the few celebrities to complete their due diligence on FTX.
In class action cases, attorney Adam Moskowitz has sued Shaquille O’Neal, Tom Brady, Larry David, and more than a dozen other FTX marketers for peddling unregistered securities.
On The Scoop’s podcast with Frank Chaparro, Moskowitz stated the lawsuit seeks $5 billion. He accused celebrity FTX supporters of not checking legal violations before cutting TV and internet ads.
Taylor Swift does. “Could you tell me that this is not an unregistered security?” Taylor Swift asked them in our findings. said Moskowitz. Swift was close to signing a $100 million sponsorship deal with FTX, but fell through. Swift did not immediately comment.
Moskowitz organized numerous class action cases against leading crypto startup promoters, including FTX and Voyager Digital, which went bankrupt. Musikitz Law Firm sued the Binance influencer on March 31.
Action against celebrity promoter FTX was blocked for months while the company tried to provide O’Neal with legal notice of the lawsuit. Despite O’Neal’s popularity on “The NBA on TNT” and as a touring DJ, it took three months and server processing in multiple states to find him. “The biggest man on Earth, we cannot serve,” said Moskowitz. “I’ve never had this problem in 35 years of class action work.”
To serve O’Neal, Moskowitz filed a complaint with the Central Florida sheriff’s office, where he was a deputy. The office allegedly cashed a $50 Moskowitz check but did not service O’Neal. “They cashed out our $50 and said, ‘Sorry, we can’t serve him yet,’” said Moskowitz. O’Neal did not immediately comment.
The class action lawsuit alleges that O’Neal and other celebrities promoted unregistered securities. The plaintiffs applied broad Florida laws that prohibit advertising of unregistered securities without requiring fraud. “You are promoting unregistered security for financial gain, you are liable for all cancellation damages,” said Moskowitz.
After FTX filed for bankruptcy in November, O’Neal said he avoided crypto. The class action lawyers Moskowitz hopes that celebrities and influencers will be more careful about promoting crypto companies in the future.
Why are you promoting an unregistered security like cryptocurrency? “That’s incomprehensible,” said Moskowitz. “Many influencers promote this. However, be practical. I can’t reach 1,000 yet. You target the biggest.