Judge Rules Stephen Curry, Tom Brady, and Other Celebrities Not Largely Liable for FTX Investors' Claims

According to a PANews report on May 8, U.S. District Judge K. Michael Moore of the Southern District of Florida dismissed most of the lawsuits against Tom Brady, Gisele Bündchen, Kevin O'Leary, Stephen Curry, and several YouTube bloggers. These celebrities were accused of improperly promoting the bankrupt FTX exchange. The judge pointed out that the plaintiffs (a group of FTX investors) failed to prove that these promoters had prior knowledge of the fraudulent activities of FTX and its CEO Sam Bankman-Fried. The collapse of FTX in November 2022 resulted in billions of dollars in losses for customers and triggered global regulatory investigations. The core dispute in the litigation centers on these celebrities receiving millions of dollars in promotion fees without disclosing their financial interests, allegedly violating federal and state advertising laws. The court ultimately ruled that the existing evidence was insufficient to hold them legally liable, although some defendants may still face lawsuits under state law.