Impresa Legal Group filed a RICO lawsuit against Stake, Drake, Adin Ross and George NguyenonbehalfofplaintiffsLaShawnnaRidleyandTiffanyHines, allegingthatDrake, RossandNguyen colluded together, with facilitation by Stake, to use the platform to discreetly transfer money to each other to finance fraudulent music botting campaigns.
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The lawsuit was filed in the United States District Court for the Eastern District of Virginia and claims that Drake, Ross and Nguyen worked to use Stake's Tipping feature to exchange funds to deploy bots, createfraudulentstreams ofDrake'smusic, fabricatepopularity,disparagecompetitorsandmusiclabel executives and distort recommendation algorithms.
The complaint alleges that Stake's user-to-user Tipping feature is wholly encrypted and substantially unregulated,enabling userstosecretly sendunlimitedquantitiesofmoneyinastrategicwaythatfalls outside of the parameters of any financial regulator and convert Stake-based cryptocurrency to cash.
ThecomplaintassertsthatDrake andRosstransmittedmoneytoNguyen, whocoordinateddirectly with bot vendors, clipping channels and streaming farms to artificially inflate play counts of Drake's musicand suppress the success of other music artists.
Ridley and Hines, who were both Stake users, assert that all Stake users have been misled by Stake's misrepresentationthatitisalegal, harmlessandsafegamingplatform.Theresultoftheconspiracyas allegedinthecomplaintisthat”Stake.uspreysonconsumersinVirginiaandnationwidewhoarelured into real money gambling, exposing consumers to substantial risks of gambling addictions and jeopardizing their and their families' financial well-being.”
Thelawsuitpointstomultiplepublic transactionsbetweenDrakeandRoss,wheretheyexchangefunds ranging from $10,000 to $100,000. In addition, the complaint illustrates how Drake, Ross and Nguyen have each been paid to promote Stake and have received payments through the platform.These undisclosed transactions are part of the RICO scheme designed to mislead consumers into playing a rigged game.
About Impresa Legal Group: Impresa Legal Group is a boutique law firm founded by seasoned legal practitioners with years of experience who share the goal of providing practical legal solutions to the problems its clients face. The firm advises national and international clients in the areas of litigation, government contracts, and corporate transactions.For more information please visit: impresalegal.com or email:info@impresalegal.com
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SOURCE Impresa Legal Group
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