Mercedes Sued Over Aiding 'Massive, Multibillion-Dollar Global Fraud'

Mercedes F1 team is being sued over aiding its former partner FTX in a multi-billion dollar fraud that was revealed last year.

According to Cointelegraph, a group of FTX users filed a lawsuit against Mercedes, accusing them of helping FTX in committing fraud.

FTX is one of the biggest cryptocurrency exchanges that collapsed due to allegations of fraud, mainly misuse of customer funds.

Investigations suggested FTX may have used the customer funds to cover losses inquired by its sister trading company, Alameda Research.

FTX's founder and CEO, Sam Bankman-Fried, was found guilty of seven counts of money laundering, fraud, and conspiracy. The unfortunate thing for Mercedes is that it used to be associated with cryptocurrency companies.

The German Formula One team is being accused of "aiding and abetting and/or actively participating in the FTX Group’s massive, multibillion-dollar global fraud."

FTX used to be one of the biggest sponsors of the team, and therefore, its logos appeared on Mercedes F1 cars, uniforms, and Merchandise.

FTX often cheered for Mercedes and congratulated it for its success, which the lawsuit said created a "veneer of trustworthiness with Mercedes F1 fans."

Mercedes terminated its sponsorship deal with the cryptocurrency exchange company on 11th November 2022.

The team's principal, Toto Wolff, and his wife, Susie Wolff, have recently been investigated for a conflict of interest by the FIA governing body.

The team principal was suggested to be in possession of valuable information that he could only receive from somebody inside FOM (Formula One Management) - his wife Susie, who is F1 Academy Managing Director.

However, the investigation that seemed to be based on a single news article was dropped shortly after all the remaining F1 teams expressed strong support for Wolff and F1 Academy and declined making any complaint that would prompt FIA to initiate the investigation.