The BBIG fraud lawsuit has now grown significantly bigger as more media outlets begin to cover investor claims against the company and its board.
Clark County Republican Party Chairman Jesse Law is tied to the BBIG fraud lawsuit as a member of a company’s board of directors accused of defrauding shareholders and furthering their own self-interests.
Jason Dick, vice president of NO RINO Nevada, a political action committee that says it is dedicated to exposing corruption and removing corrupt Republicans from office, told the Review-Journal his committee is endorsing Bruchhagen instead of Law due to the lawsuits.
“We believe that what has happened here is an example of someone becoming a politician to further themselves financially, instead of furthering the interests of the Republican Party,” Dick said.
This means the BBIG family might have some additional help coming their way from Jesse Law’s competitors.
“We believe the board of directors intentionally failed their fiduciary responsibility and have colluded to execute harmful and self-dealing actions that have caused a 99 percent decrease in shareholder value,” Christopher Muntz, one of the shareholders named in the lawsuit, told the Las Vegas Review-Journal.
“We endeavor to protect the company from additional harm and want to ensure the over 2,000 shareholders we represent are compensated fairly and equitably,” he continued.
In April, the BBIG community was able to raise more than $42K to fight the Board of Directors in court.
Investors have been calling the Board of Directors to step down on social media, claiming the BoD are not qualified to serve investors.
“That amendment to our articles of incorporation and addition of preferred shares without shareholders vote was illegal.
We are attempting to stop the reverse split and dilution that we believe was rammed through an illegal proxy and invalid shareholders meeting,” said Shad, an investor involved in the BBIG lawsuit.
Latest BBIG Updates
Vinco Ventures announced a 1-for-20 reverse stock split in May which the company stock has already undergone.
“We wish to thank our investors for their continued support as we work to refocus Vinco’s operations.
The approval of the reverse split under the Company’s plan to maintain its Nasdaq listing, together with our ongoing refocusing efforts, better positions us to realize the great potential we see ahead,” stated James Robertson, Chief Executive Officer.
In June, the company announced it had pushed back its Form 10-Q filing, a common pattern investors have seen before.
“Vinco Ventures announced receipt of a staff determination on May 18, 2023 stating that the Company failed to meet its obligations under Nasdaq Listing Rule 5810(b) because it has not yet filed its Form 10-Q for the period ended March 31, 2023.
The Company notes, in the April 14, 2023 determination letter, which it received from the Panel, its agreement to file its 10-Q by July 7, 2023 was referenced, and that the Company continues to remain confident that it will file its 10-Q by that date,” the press release read.
Other parties also have filed lawsuits against Vinco Ventures, including Clark County Commissioner Ross Miller, who was appointed by Nevada Business Court Judge Timothy Williams to serve as interim CEO of Vinco as part of mediations for a previous lawsuit.
Miller alleges he hasn’t been paid after he parted ways from the company in December 2022.
“There’s been considerable red flags about how that company was operating,” Miller told the Review-Journal.
“I think they’ll ultimately have to answer to shareholders or systemic courts that are reviewing this and perhaps some federal investigative bodies.”
Two former partners also filed a racketeering lawsuit against Vinco, Farnsworth and others, alleging they have not been paid for bringing forward deals with other businesses for the company to acquire.
The litigation is still pending.
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