Former Employee Sues Chiliz for $10 Million in Unpaid Tokens

Chiliz, a blockchain platform specializing in sports and entertainment fan tokens, is facing a legal challenge from a former Korean employee alleging the company failed to deliver on $10 million worth of promised token compensation.

South Korean news outlet NoCutNews reports that the ex-employee alleges Chiliz officials failed to deliver on a promised $10 million worth of tokens, which were part of his compensation package from 2020 to 2022.

The dispute began when the former employee filed suit against Chiliz officials on April 19, claiming he was terminated for raising concerns about the unpaid tokens. The employee’s lawsuit claims that he fulfilled his duties as promised, yet the token compensation never materialized. This situation escalated when the ex-employee decided to take legal action, seeking justice and the compensation he believes is rightfully his.

In response, Chiliz has filed both civil and criminal lawsuits against the ex-employee, alleging a breach of confidentiality agreements and the dissemination of false information to the media.

These actions have added another layer of complexity to the legal battle, as Chiliz seeks to defend its reputation and counter the allegations made against it.

Chiliz’s civil suit seeks damages from the former employee, arguing his actions have harmed the company’s reputation and operations. The criminal case revolves around allegations of defamation, with Chiliz claiming the ex-employee’s statements were false and damaging.

However, the legal proceedings have not been entirely favorable for Chiliz. In April, the former employee lost a civil case for damages, and prosecutors dropped defamation charges due to insufficient evidence. This decision indicates that the evidence presented by Chiliz did not meet the required legal standards to prove defamation.

Disclaimer: The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Coin Edition is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.

Source