Latest news with #SamBankmanFried
New York Times
14-06-2025
- Business
- New York Times
Shaquille O'Neal Agrees to Pay $1.8 Million to Settle FTX Class-Action Suit
Shaquille O'Neal, the retired basketball star, agreed to pay $1.8 million to settle a class-action suit brought by customers of FTX, the collapsed cryptocurrency exchange, accusing him and other celebrities of illegally promoting the exchange. The settlement, which was disclosed in a filing in the U.S. District Court for the Southern District of Florida this past week, signaled an imminent resolution for Mr. O'Neal in a case that had questioned the liability of celebrities and influencers who endorse cryptocurrencies and other risky financial products. At the center of the dispute was FTX, the cryptocurrency exchange that suddenly collapsed in 2022, taking $8 billion in customer funds with it. Sam Bankman-Fried, a founder of the exchange, was convicted on charges of fraud, conspiracy and money laundering and sentenced to 25 years in prison. The demise exposed the underbelly of the loosely regulated world of cryptocurrencies, and it devastated investors who in some cases experienced crippling financial losses. It also embroiled in legal action celebrities, influencers and venture capital firms that had endorsed the exchange, with FTX customers arguing that they had been deceived. In 2022, a group of FTX customers sued Mr. O'Neal and a string of other high-profile actors and athletes for compensation. Mr. O'Neal's $1.8 million settlement, which the filing said was finalized in April, makes him one of several defendants who have settled the suit since it was filed. Trevor Lawrence, the football player, and popular content creators were among a group who agreed in 2024 to a settlement of about $1.3 million. This settlement, which pertains only to Mr. O'Neal, still needs court approval. Sunil Kavuri, an FTX customer who has said he lost his life savings of about $2 million, welcomed the news. 'Settling with Shaquille O'Neal helps bring closure to the darkest period of our lives,' he said on Saturday. Other defendants, including Tom Brady, Gisele Bündchen, Larry David and Steph Curry, have argued for the claims to be dismissed. A judge dismissed some of the claims, which include conspiracy and deceptive practices, but allowed others to proceed. In an interview in 2023 with Vanity Fair, Ms. Bündchen said that she had 'trusted the hype' and felt 'blindsided.' The actions have not been limited to high-profile celebrities: Some YouTube influencers have also settled after FTX customers accused them of illegally promoting the exchange on their platforms. Lawyers listed for Mr. O'Neal and for the FTX customers who brought the suit did not immediately respond to a request for comment on Saturday.
CTV News
13-06-2025
- Business
- CTV News
Shaquille O'Neal to pay US$1.8 million to settle FTX class action lawsuit
Former NBA player Shaquille O'Neal will pay US$1.8 million to settle a class action lawsuit related to the demise of cryptocurrency exchange FTX. O'Neal, and other celebrities like Tom Brady and Stephen Curry, were named in the lawsuit in 2022. They had been accused of touting FTX as a reputable and trustworthy investment option via paid endorsements. The proposed settlement only pertains to O'Neal. Three years ago FTX was the third-largest cryptocurrency exchange, but it ended up with billions of dollars worth of losses and had to seek bankruptcy protection. The Bahamas-based company and its founder, Sam Bankman-Fried, came under investigation by state and federal authorities for allegedly investing depositors funds in ventures without their approval. Before its failure, FTX was known to use high-profile Hollywood and sports celebrities to promote its products. It had the naming rights to a Formula One racing team as well as a sports arena in Miami. Its commercials featured 'Seinfeld' creator Larry David, as well as Brady, the former quarterback of the Tampa Bay Buccaneers and New England Patriots, basketball players O'Neal and Curry, and tennis star Naomi Osaka. Bankman-Fried was sentenced to 25 years in prison in March 2024. A little more than a month after that, FTX said in a court filing that nearly all of its customers would receive the money back that they were owed. While the proposed settlement with O'Neal had been agreed to in April, the payment amount and other terms were disclosed in a filing with the U.S. District Court, Southern District of Florida, Miami Division, earlier this week. The settlement class includes anyone who deposited funds into FTX or bought its FTT token between May 2019 and late 2022. The agreement, which still needs court approval, would provide O'Neal with a broad release from future claims and also includes a stipulation that he can't seek reimbursement from the FTX estate. The payment will be made within 30 days of the settlement being finalized, according to the filing. Michelle Chapman, The Associated Press
The Independent
13-06-2025
- Business
- The Independent
Shaquille O'Neal to pay $1.8 million to settle FTX class action lawsuit
Former NBA player Shaquille O'Neal will pay $1.8 million to settle a class action lawsuit related to the demise of cryptocurrency exchange FTX. O'Neal, and other celebrities like Tom Brady and Stephen Curry, were named in the lawsuit in 2022. They had been accused of touting FTX as a reputable and trustworthy investment option via paid endorsements. The proposed settlement only pertains to O'Neal. Three years ago FTX was the third-largest cryptocurrency exchange, but it ended up with billions of dollars worth of losses and had to seek bankruptcy protection. The Bahamas-based company and its founder, Sam Bankman-Fried, came under investigation by state and federal authorities for allegedly investing depositors funds in ventures without their approval. Before its failure, FTX was known to use high-profile Hollywood and sports celebrities to promote its products. It had the naming rights to a Formula One racing team as well as a sports arena in Miami. Its commercials featured 'Seinfeld' creator Larry David, as well as Brady, the former quarterback of the Tampa Bay Buccaneers and New England Patriots, basketball players O'Neal and Curry, and tennis star Naomi Osaka. Bankman-Fried was sentenced to 25 years in prison in March 2024. A little more than a month after that, FTX said in a court filing that nearly all of its customers would receive the money back that they were owed. While the proposed settlement with O'Neal had been agreed to in April, the payment amount and other terms were disclosed in a filing with the U.S. District Court, Southern District of Florida, Miami Division, earlier this week. The settlement class includes anyone who deposited funds into FTX or bought its FTT token between May 2019 and late 2022. The agreement, which still needs court approval, would provide O'Neal with a broad release from future claims and also includes a stipulation that he can't seek reimbursement from the FTX estate. The payment will be made within 30 days of the settlement being finalized, according to the filing.
Associated Press
13-06-2025
- Business
- Associated Press
Shaquille O'Neal to pay $1.8 million to settle FTX class action lawsuit
Former NBA player Shaquille O'Neal will pay $1.8 million to settle a class action lawsuit related to the demise of cryptocurrency exchange FTX. O'Neal, and other celebrities like Tom Brady and Stephen Curry, were named in the lawsuit in 2022. They had been accused of touting FTX as a reputable and trustworthy investment option via paid endorsements. The proposed settlement only pertains to O'Neal. Three years ago FTX was the third-largest cryptocurrency exchange, but it ended up with billions of dollars worth of losses and had to seek bankruptcy protection. The Bahamas-based company and its founder, Sam Bankman-Fried, came under investigation by state and federal authorities for allegedly investing depositors funds in ventures without their approval. Before its failure, FTX was known to use high-profile Hollywood and sports celebrities to promote its products. It had the naming rights to a Formula One racing team as well as a sports arena in Miami. Its commercials featured 'Seinfeld' creator Larry David, as well as Brady, the former quarterback of the Tampa Bay Buccaneers and New England Patriots, basketball players O'Neal and Curry, and tennis star Naomi Osaka. Bankman-Fried was sentenced to 25 years in prison in March 2024. A little more than a month after that, FTX said in a court filing that nearly all of its customers would receive the money back that they were owed. While the proposed settlement with O'Neal had been agreed to in April, the payment amount and other terms were disclosed in a filing with the U.S. District Court, Southern District of Florida, Miami Division, earlier this week. The settlement class includes anyone who deposited funds into FTX or bought its FTT token between May 2019 and late 2022. The agreement, which still needs court approval, would provide O'Neal with a broad release from future claims and also includes a stipulation that he can't seek reimbursement from the FTX estate. The payment will be made within 30 days of the settlement being finalized, according to the filing.
Entrepreneur
12-06-2025
- Business
- Entrepreneur
Shaquille O'Neal to Pay Nearly $2M to Settle FTX Lawsuit
NBA Hall of Famer Shaq is settling a class action lawsuit brought by FTX investors who claim they were misled. NBA Hall of Famer (and prolific franchise owner) Shaquille O'Neal will pay $1.8 million to settle claims from investors that he misled them into investing in FTX, the bankrupt and infamous crypto exchange formerly led by Sam Bankman-Fried. The settlement will cost Shaq around $1 million more than he got paid for the FTX commercial in the first place, which was reportedly around $750,000. RELATED: From Tom Brady to Kevin O'Leary – See Who Lost Big in the Wake of the FTX Crypto Collapse After being named in a class-action lawsuit in December 2022 alongside other celebrities who starred in FTX promotions, including Tom Brady and Larry David, O'Neal told CNBC that he was just acting in a commercial, not giving financial advice. "A lot of people think I'm involved, but I was just a paid spokesperson for a commercial," O'Neal said at the time. O'Neal allegedly dodged process servers for months but was served with legal documents in April 2023. If approved by the judge overseeing the case, the settlement would officially end the class action lawsuit, which was filed by FTX investors who deposited money between May 2019 and late 2022, and release him from future liability in this matter, fully resolving all claims without O'Neal having to admit any wrongdoing. It also bans him from seeking reimbursement from the FTX estate, per CNBC. RELATED: Sam Bankman-Fried Sentenced to 25 Years in Prison for Multibillion-Dollar Crypto Fraud Bankman-Fried is currently serving a 25-year prison sentence for seven counts of fraud and conspiracy related to the FTX collapse. Business Insider reports he may be released four years early for good behavior.
