Ortiz, Brady named among defendants in the collapse of FTX

                Former Red Sox slacker David Ortiz and quarterback Tom Brady are listed along with several other athletes and celebrities in a class action lawsuit filed Tuesday over the sudden collapse of cryptocurrency exchange FTX.  FTX recently purchased the naming rights to the Miami Heat's home arena.  It claims that plaintiff Edwin Garrison, of Oklahoma, bought unregistered stock from FTX and funded it “with enough crypto assets to earn interest on his holdings.”  Garrison claims he decided to invest with FTX after being exposed to "false statements and omissions" on the platform.  Because Brady, Ortiz and other listed defendants acted as brand ambassadors, the lawsuit holds them liable for the damages suffered by the investors.  Other famous defendants include supermodel Gisele Bundchen, "Shark Tank" investor Kevin O'Leary, Miami Heat player Udonis Haslem, Golden State Warriors player Stephen Curry and his entire team, former NBA Shaquille O'Neal, Jacksonville Jaguars quarterback William Trevor Lawrence, Los Angeles Angels player Shohei Ohtani, tennis player Naomi Osaka and actor-comedian-writer Larry David.  FTX founder and former CEO Sam Bankman-Fried is also named as a defendant.  consumers to invest in the (interest bearing accounts), which have been bid and sold largely by the FTX entities' internal operations base here in Miami, Florida, pouring billions of dollars into the deceptive FTX platform to keep the entire scheme afloat,” states the lawsuit. One of the counts included in the lawsuit is a charge of conspiracy to commit a civil conspiracy. "The FTX Entities and the Defendants made numerous false statements and omissions to Plaintiff and Class Members on the Deceptive FTX Platform in order to to induce confidence and push consumers to invest in what was ultimately a Ponzi scheme, misleading customers and potential customers under the false impression that any cryptocurrency assets held on the deceptive FTX platform were secure and were not being invested in unregistered securities," Lawsuit Says FTX Filed For Bankruptcy Protection Friday, Sending Tsunami-Like Waves Through Crypto Industry  tocurrencies, which has seen a fair amount of volatility and turmoil this year, including a sharp drop in the price of bitcoin and other digital assets.  Other cryptocurrency firms are failing as FTX unravels, events reminiscent of the domino crashes of the 2008 financial crisis. Within days of FTX's crash, the public is starting to get a sense of just how messy the case can be for failure.  Users remain frustratingly in the dark about when they might get their funds back, if at all.  In a court filing, FTX's attorneys said there were already more than 100,000 claims against the company and estimated that figure could grow to more than 1 million, most of them clients, once the case settles. will have been completed.  The court ordered FTX to provide at least a list of the company's 50 largest creditors by Nov. 18.  criminal activity or financial crime has been committed.  The Associated Press contributed to this report. 
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                <strong class="dateline">NEEDHAM, Mass. —</strong>                                          <p>Former Red Sox slacker David Ortiz and quarterback Tom Brady are listed along with several other athletes and celebrities in a class action lawsuit filed Tuesday over the sudden collapse of cryptocurrency exchange FTX.

The lawsuit was filed in United States District Court in Miami, Florida, where Bahamas-based FTX had recently purchased the naming rights to the Miami Heat’s home arena.

It claims that plaintiff Edwin Garrison, of Oklahoma, bought unregistered stock from FTX and funded it “with enough cryptocurrency to earn interest on his holdings.” Garrison claims he decided to invest with FTX after being exposed to “false statements and omissions” on the platform.

Because Brady, Ortiz and other listed defendants acted as brand ambassadors, the lawsuit holds them liable for the damages suffered by the investors.

Other famous defendants include supermodel Gisele Bundchen, “Shark Tank” investor Kevin O’Leary, Miami Heat player Udonis Haslem, Golden State Warriors player Stephen Curry and his entire team, former NBA Shaquille O’Neal, Jacksonville Jaguars quarterback William Trevor Lawrence, Los Angeles Angels player Shohei Ohtani, tennis player Naomi Osaka and actor-comedian-writer Larry David. FTX founder and former CEO Sam Bankman-Fried is also named as a defendant.

“Part of the scheme used by the FTX entities involved using some of the biggest names in sports and entertainment, such as these defendants, to raise money and get American consumers to invest in[interest bearing accounts]which were being offered and sold largely from the FTX entities internal operating base here in Miami, Florida pouring billions of dollars into the deceptive FTX platform to keep the whole scheme afloat,” the lawsuit states.

One of the counts included in the lawsuit is a charge of civil conspiracy.

“The FTX Entities and the Defendants made numerous misrepresentations and omissions to the Plaintiff and Class Members on the Deceptive FTX Platform in order to induce confidence and induce consumers to invest in what was ultimately a Ponzi scheme, misleading customers and potential customers under the false impression that any cryptocurrency assets held on the deceptive FTX platform were secure and were not being invested in unregistered securities,” the lawsuit states.

FTX filed for bankruptcy protection on Friday, sending tsunami-like waves through the cryptocurrency industry, which has seen its fair share of volatility and turmoil this year, including a sharp drop in the price of bitcoin and other digital assets. Other cryptocurrency companies are failing due to the unraveling of FTX, events reminiscent of the domino crashes of the 2008 financial crisis.

Just days after the collapse of FTX, the public is starting to get a sense of just how complicated the bankruptcy case can be. Users remain frustratingly in the dark about when they might get their funds back, if at all.

In a court filing, FTX’s attorneys said there were already more than 100,000 claims against the company and estimated that figure could grow to more than 1 million, most of them clients, once the case settles. will have been completed. The court ordered FTX to provide at least a list of the company’s 50 largest creditors by Nov. 18.

Meanwhile, the Associated Press reported that FTX and its CEO are under investigation by the Justice Department and the Securities and Exchange Commission to determine whether they committed criminal activity or securities offenses.

The Associated Press contributed to this report.

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