Former Echo Fox owner Rick Fox has filed a lawsuit against his previous business partners, suing for “tens of millions of dollars,” according to NBC Los Angeles.
Six days ago, Echo Fox reportedly ousted Fox from the organization after 80 percent of the team’s partners agreed that “he did not act within the best interest of the business” and that he even threatened to “burn this company to the ground.”
Fox’s lawsuit claims that Echo Fox partner Amit Raizada used investor funds for personal use in a complex scheme that’s also forced the team to sell its spot in the LCS to Evil Geniuses. Fox also called Raizada a “con man” in a phone call with the Associated Press.
In addition, the lawsuit brings up Stratton Sclavos, one of the team’s partners who allegedly took a $2 million personal loan from the company after helping raise funds from a group of investors. But Sclavos’ attorney Linda McFee says that Fox’s lawsuit is based off of lies and that this is simply “yet another attempt to deflect blame for Echo Fox’s failure from himself.” She also refutes the claims that Raizada and Sclavos misused company funds.
In April, Fox notified Echo Fox that he was going to leave the organization after Raizada made several racist remarks towards former Echo Fox CEO Jace Hall—Fox also said that Raizada threatened his family. In response, Riot Games launched an investigation into the issue and ultimately ordered Echo Fox to either get rid of Raizada or risk losing the team’s LCS slot.
“He’s threatened my family, he threatened my friends, [and] he’s proven to be despicable,” Fox said. “Most people are afraid to deal with that. They’re afraid to speak up. My hope is that my shining a light on this situation with myself, others will not fall prey to his actions and his deception.”
Fox has also said that this whole situation hasn’t “tainted [his] love for esports” and that he plans to work in the scene after all of the issues are resolved.