The Moskowitz law firm has filed a civil lawsuit in the U.S. District Court for the Southern District of Florida against Mark Cuban for promoting Voyager’s unregulated crypto products and participating in a Ponzi scheme with its CEO Steven Ehrlich.
Prominent investor Mark Cuban has been sued for promoting Voyager’s unregulated crypto products. Voyager currently has more than 3.5 million users unable to retrieve nearly $5 billion in crypto assets on the platform. https://t.co/GWozdJLvT1
— Wu Blockchain (@WuBlockchain) August 11, 2022
The plaintiff has requested a jury trial.
The suit states that the crypto broker did not return about $5 billion to around 3.5 million clients. Cuban repeatedly distorted information about the firm, making dubious claims that it trades cheaper than rivals and offers trading services with no commissions.
The billionaire described the platform as “as close to risk-free as possible in crypto.”
“Cuban and Ehrlich […] offered to invest in the fraudulent Voyager platform and open Voyager Earn Program accounts, which are unregistered securities. […] It relied on the support of the owner of the Dallas Mavericks,” — according to the complaint.
As previously reported, the crypto broker filed for bankruptcy in a New York court on July 5, 2022.
A month later, the court approved Voyager Digital’s proposal to unfreeze the crypto broker’s deposit at Metropolitan Commercial Bank to return $270 million to clients.
The company’s management expects to complete the restructuring in the first quarter of 2023.
In October 2021, Voyager announced a five-year partnership agreement with the Dallas Mavericks.
Earlier, Cubanpredicted the disappearance of crypto projects without “real prospects.”
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