FTX and Star Backers Including Tom Brady, Steph Curry Sued by Investor

The suit, which seeks unspecified damages, is the first to be filed against Bankman-Fried and his companies since FTX’s bankruptcy court filing, as investors start jockeying to recover whatever losses they can. The bankruptcy filing for protection from creditors may limit Garrison and others in efforts to get their money back. FTX and its related companies may have more than a million creditors, according to court filings.

Celebrities have been sued in other cases claiming crypto losses. Kim Kardashian and Floyd Mayweather Jr. were named as defendants in a suit accusing them of scamming investors in a cryptocurrency called EthereumMax. The two celebrities won a tentative ruling last week to dismiss the suit.

Garrison is represented by the Boies Schiller Flexner law firm and by Adam Moskowitz, a Florida lawyer who last December filed a suit against crypto broker Voyager Digital Ltd., alleging it misled customers by charging hidden fees on transactions. Voyager opposed the claims. That case has been delayed by Voyager’s own bankruptcy court filing.

Meanwhile, the collapse of FTX has thrown a wrench into Voyager’s plan to sell its assets to the company for $1.4 billion.

The case is Garrison v. Bankman-Fried, 22-cv-23753, US District Court, Southern District of Florida (Miami).

Pictured: Tom Brady. (Photo: Bloomberg)