A Chinese investor is suing a famous Israeli businessman with crypto-clay and his company blockchain Stox (STX) for alleged fraud, according to the English newspaper The Times of Israel, on January 25th.
The investor, Zheven Hu, sued Stoke and his founder for $ 4.6 million, according to the report. Hu claims to have invested a total of about $ 3.8 million in ETHI in the company blockchainmarket forecasting platform based on Ethereum, an open source called Stox, founded by Moshe Hogeg.
Hogeg is known for its numerous business adventures related to cryptoLight – they include the base of the smartphone developer blockchain Sirin Labs also contributes as LeadCoin's president, a decentralized network of potential customer-sharing based on blockchain-.
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He also owns Beitar Jerusalem, one of Israel's most important football clubs, who has agreed to buy $ 7.2 million last August, The Times of Israel reported.
The search for 17 million NIS (~ $ 4.6 million) claims that the operator of Hogeg and Stox, STX Technologies Limited, has appropriated millions of dollars in cryptoLights invested in the company.
The lawsuit claims that Stox's technical document promises that if the company reaches its target for an initial currency offer (ICO), which is to raise $ 30 million in ETH, all funds will be channeled into product development. The expectation, according to the demand, was that the successful development of the Stox market platform would increase the value of the native STX marker.
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By collecting a total of $ 33 million in ICO since August 2017, the trial claims that currently only $ 5 million of these funds have been distributed to the company and its leading product. Hu says that Hogeg reinvested the rest of the capital to invest in other ICOs, including the Telegram message giant. The statement also states that Hogeg has breached its commitment to investors by selling its stake in Stox earlier than promised, claiming to devalue the value of the tokens.
According to the report, Hogeg is facing a lawsuit in November for alleged misuse of funds in connection with the crypto company Invest.com, whose subsidiary is Stox. The businessman denies having committed any crime in both cases.
As already reported, Ix of Stox was promoted by professional boxer Floyd Mayweather Jr., who faces separate charges from the US Securities and Exchange Commission for illegal advertising activities around ICO's CryptoLoute Company. Tech in September 2017. Subsequently, the founders of the Centra were officially accused by American lawyers for fraud.
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