Former Disney child actor Brock Pierce, who is running for the US Presidential elections, was served with a lawsuit on September 14, for selling unregistered securities.
When the legal papers related to ICO fraud were served to Pierce, he was in his political campaign rally.
Lawsuit Filed In May
As per the report, the class-action lawsuit, which was filed in May 2020, stated that when EOS initial coin offering (ICO) was organized, Pierce and a few other defendants sold the unregistered securities to the customer.
In June 2017, an unknown individual bought the EOS tokens and later came to know that those were unregistered securities. The person registered a class-action lawsuit in May 2020, against several companies and executives involved in that EOS project.
Along with Brock Pierce, the co-founders of Block.one, i.e., Daniel Larimer and Brendan Blumer, have also been served with the class-action lawsuit.
The complaint filed against the defendants’ states, “Pierce alongside other Block.one leadership is accountable for duping global investors in what may be the biggest of all crypto frauds.”
Block.one Sold 900 Million Unregistered Securities
Further in his complaint, the unknown individual has pointed out that despite being registered in the Cayman Islands, Block.one was found operating in Hong Kong and the state of Virginia.
Although Block.one was not registered with the US Securities Exchange and Commission (SEC), it still supported the EOS project and sold 900 million EOS tokens.
On September 14, Pierce organized his presidential campaign rally in New York City, where he received the lawsuit. Later that day, the CEO of Typhon Capital Management James Koutoulas, surfaced the rally video in which the former Disney Child actor was receiving the lawsuit.
Koutoulas, the plaintiff’s counsel member in the EOS class-action lawsuit, tweeted the video saying that during his rally in the New York city, the crypto billionaire was served with the lawsuit.