Plaintiff Don Holland Files A Lawsuit Against Logan Paul And CryptoZoo

Long Paul and CryptoZoo have been labeled as defendants in a uniquely submitted class-action lawsuit. The respective case accuses them of having stolen a worth of millions of dollars in crypto through a fraudulent venture. On the 2nd of February, a court filing was submitted to the District Court of the Western District of Texas. Don Holland (the plaintiff of the lawsuit) alleged that Paul as well as the other executives operating at CryptoZoo carried out a rug pull.

Logan Paul Gets Sued for an Alleged Rug Pull in CryptoZoo NFT Project

As mentioned in the court filing, the defendants promised the buyers of the NFTs that they will be given crypto assets along with several other advantages. However, eventually, they abandoned the project while retaining the funds of the consumers. As included in the NFT scheme of the defendants, they promoted the non-fungible tokens by making false statements.

It was mentioned in the lawsuit that, in return for transacting crypto to buy the CryptoZoo NFTs, they would be provided many benefits taking into account rewards and crypto assets. The platform also stated that the purchasers will also be assisted by the ecosystem in marketing and use of the CryptoZoo NFTs.

In the court filing, it was noted that – after the completion of the NFTs’ sale – the defendants transacted several millions of dollars generated from the purchases to the wallets that were in their control. Attorney Tom and Associates and Ellzey & Associates have filed the lawsuit against the defendants. Attorney Tom and Associates is a law company operated by Attorney Tom (a prominent YouTube personality).

In a video published on YouTube on the 16th of January this year, Attorney Tom stated that they have the intention to submit a lawsuit against Paul for allegedly orchestrating a crypto scam. As per him, they carried out an inquiry for several weeks along with conversing with several people who were the victims of the CryptoZoo project.

The rest of the defendants take into account Ophir Bentov, Jake Greenbaum, Eddie Ibanez, Jeff Levin, and Danielle Strobel, as per Attorney Tom. The respective lawsuit is witnessed despite the disclosure by Paul that a recovery strategy of up to $1.5 million worth will be carried out to compensate the investors who suffered during the project. Paul revealed this in a video published on the 13th of January.

Paul additionally asserted that he will not sue CoffeeZilla (a YouTube channel that accused Paul) for the accusations that were raised by it labeling the project as a scam. Paul disclosed in the video that filing a lawsuit against CoffeeZilla will not be assistive for the holders of CryptoZoo NFTs. Hence, he asserted his attention on supporters and fans.

Paul Offers a 3-Phased Recovery Plan for Dissatisfied Investors

Paul delineated a recovery strategy in which there were 3 phases. The initial phase will be dealing with him and Jeff Levin (a co-founder of the CryptoZoo project). According to Paul, the initial phase will include the burning of the above-mentioned persons’ holdings of ZOO tokens. In his words, they will not avail any financial upside during the plan. Paul added that the respective strategy will provide value to the tokens of the holders.

As claimed by Paul, the 2nd phase will take into account the contribution of up to 1,000 ETH tokens by him to help the dissatisfied investors. They can burn the respective NFTs to receive back the original 0.1 ETH investment. In the meantime, the conclusive phase comprises the delivery of the game as mentioned in the whitepaper.

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