Rick Fox files lawsuit against Raizada and other Echo Fox investors

Olivia R. October 3, 2019

Echo Fox owner Rick Fox is responding to investors who voted to remove him from the company with a lawsuit. 

The former NBA player is filing a lawsuit accusing Amit Raizada and other business partners at Echo Fox of fraud. He is seeking damges "worth tens of millions of dollars," according to NBC Los Angeles. 

According to the suit that was filed in Los Angeles County on Monday, Fox has accused Raizada of using investor funds for his own personal benefit. He has also, once again, brought up Raizada's racist comments.

Fox told The Associated Press that Raizada is "a con man." 

"Rick Fox's lawsuit is a transparent attempt to divert attention from the train wreck he left behind at Echo Fox," Raizada attorney David Swift said. He added that the lawsuit is full of "categorically false allegations" about Raizada and other Echo Fox partners. 

Swift then added that Fox's lawsuit was another attempt by the former actor to deflect blame for the organization's failures. 

Investor Stratton Sclavos' attorney Linda McFee also spoke out against Fox and the lawsuit.

"Contrary to Fox's propaganda, Sclavos nor Raizada misappropriated or misused any company funds. No monies paid to or for Raizada for his services were paid by Echo Fox or depleted any Echo Fox resources," McFee said. "Rather Sclavos, Raizada, and their affiliates infused millions of dollars into Echo Fox over several years just so it could survive. Fox cannot say the same."

Echo Fox investors vote to remove Fox from esports organization

 

Raizada, along with over 80% of the company's limited partners, have voted to remove Fox as a general partner by the end of October. The investors stated that Fox had not acted in the best interests of the esports organization. 

The partners went on to say that Fox was "negligent" in his handling of Echo Fox's francise slot in the League of Legends Championship Series. This correlates to an interview Raizada had with WIN.gg in which the investor stated that the quick sale of the slot went against investor wishes. Raizada himself noted that he had lost $7 million on the deal. 

The investors' documents also included a statement from Fox to an unnamed individual in which Fox said that he would "burn [Echo Fox] to the ground." No further information or context was given on the alleged quote from Fox. 

Despite the ongoing drama at Echo Fox, Fox noted that his "love for esports" has not been tainted. He said he plans to remain part of the esports industry "after this is cleaned up."