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A Lawsuit Worth $400 Million Is Pending Against the Founders of Stake.com

The Australians Bijan Tehrani and Ed Craven, who are the owners of the famous cryptocurrency online gambling site Stake.com, are rumoured to be the targets of a litigation in the United States which could be valued as much as $400 million, according to a recent report. According to the reports in the news media, the complaint was filed by a former associate that says that the two defendants withdrew him from a business endeavour that they were involved in together without obtaining his permission first.

Home / News / A Lawsuit Worth $400 Million Is Pending Against the Founders of Stake.com

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The Accuser Claims To Be Wronged

The individual who is bringing this civil court case is Christopher Freeman, and he lives in the state of Florida, in the United States. He has submitted his paperwork to the Southern District of New York.

Freeman asserts that he made an investment in a firm which was a forerunner of Stake.com, but claims that he was never told of the establishment of Stake.com. The firm sent a response to the SMH in which they categorically denied Freeman’s allegations as being true.

The Stake.com founders said that there are charges in the lawsuit which were submitted by Chris Freeman (The Accuser) which are internally contradictory, purposefully deceptive, and evidently incorrect. The business organisation referred to the assertion as a “desperate attempt to distribute false info.”

The lawsuit has been deemed “frivolous” as well as “false” by both Tehrani and Craven, as stated by the Sydney Morning Herald (SMH).

The co-founders of the gambling website as well as the platform itself are named in the complaint. The team of lawyers for Stake.com has stated that it is ready to fight the lawsuit in court, provided that it is not dismissed prior to that point. In the meanwhile, Freeman has demonstrated that the website/business Stake.com is a very profitable business by taking advantage of the information that is accessible to the general public.

He contends that perhaps the recently purchased mansion in the area of the $80 million region by one of the firm’s co-founders is indicative of the business’s continued success. Freeman claims that he was also Tehrani’s boyhood buddy and that back in 2013, both he and Craven made the decision to establish Primedice, which is a casino firm. Freeman also claims that Craven was involved in the decision. The original equity in the company was distributed to each of them in proportion to the amount of money and time they had put into the venture.

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What Occurred Among the Partners

Freeman had a 20% stake in the corporation, while the other 2 individuals each had a 40% stake in the business. Freeman stated in his dispute that his equity was lowered to 14% nine months after the firm was founded, despite the fact that he tries to claim there was a prior agreement between the three of them that only individuals who invested in the business would indeed be subjected to equity.

Freeman claimed that both Craven and Tehrani advised him that the only possible way for him to stay part of the venture is by leaving Florida and moving back to Australia. They also pointed out that the company would now only use The Euro and US Dollar as their main currency. This allegation was made at the time that Stake.com was being established.

Mr Freeman has recently turned down these comments as he argued that the FIAT gambling business (which had been the original premise behind the new startup that subsequently formed Stake.com) was too crowded and that it also attracted certain dangers that he was not ready to face.

In spite of this, Freeman said in the complaint that he filed that Craven and Tehrani went on and established Stake.com using characteristics that Freeman asserts were original creations of his own design. According to the lawsuit, he was also disconnected from Primedice, which caused him to lose entry to his profiles. Freeman had not provided a response to the comment request that the SMH had made.