Celebs like Kim Kardashian and Floyd Mayweather, along with several others are attempting to persuade a judge to wipe out the latest revision of the lawsuit. The current verdict seeks to penalize them all for apparently supporting EthereumMax (EMAX) without the required declaration that they were paid to promote the token.
The celebrities want to politely handle a California Federal judge to ignore the second legal complaint through the holders of EthereumMax, sued in December 2022.
The firm behind EthereumMax allegedly collaborated with the following personalities to sell EMAX cryptocurrencies to the investors in a “pump and dump” scam, according to the investors’ lawsuit.
The theory is that Kim Kardashian, Floyd Mayweather, and other celebrities promoted the EMAX token to significantly pump its value. The judge previously denied the theory. Upon the defendant’s request, the judge revised the decision as the value of the EMAX token has not changed drastically which does not hurt the token holders.
Also, it mentioned that “The court otherwise dismissed the prior complaint in full to fundamental flawless. The addition of new claims, defendates, and over 100 pages of largely irrelevant allegations does not cure the defects.”
Earlier Kim Kardashian paid a fine of $1.25 Million back in October 2022 once because of an EMAX token promotion on social media.
Also read: SEC charges Kim Kardashian for touting Crypto Security
The Security and Exchange Commission (SEC) has given notice to celebrities who advocated cryptocurrency. The SEC cautioned celebrities on February 17 that the law requires them to declare the amount they are compensated and from whom when encouraging investing in securities.
