- Magistrates dismissed a similar indictment against the accused in December of last year.
- Investors said the celebrities artificially inflated the asset’s value via social media attention.
A group of celebrities including Kim Kardashian, Floyd Mayweather, and others have asked a federal court in California to dismiss their revived case over EMAX. Magistrates dismissed a similar indictment against the accused in December of last year.
It has been alleged that Kim Kardashian, Floyd Mayweather, Paul Pierce, Jona Rechnitz, and Giovanni Perone artificially inflated the price of EthereumMax (EMAX) by promoting it.
Artificially Inflated Assets Value
Last year, investors who lost money in the EthereumMax (EMAX) filed suit against the prominent persons behind it. They said the celebrities artificially inflated the asset’s value. Via social media attention and then sold it off for a profit.
The defense argued that the new case is identical. To the one that was dismissed by a federal court at the end of 2022. Judges back then ruled that there was no way to know for sure whether the investors who filed suit had really seen the advertisements on social media.
With over 345 million Instagram followers, Kardashian reportedly earned $250,000 to promote EMAX on her page. In October 2022, she settled the charges for $1.26 million. After receiving a $244,000 payment from EthereumMax. The US SEC has now accused NBA legend Paul Pierce of improperly advertising the EMAX cryptocurrency on his social media pages.
Without entering a plea, the basketball legend settled for paying a fine of more than $1.1 million. Plus $240,000 in disgorgement and prejudgment interest. In accordance with the verdict, he is not allowed to promote any crypto asset securities for the next three years.
