According to ChainCatcher, a group of investors has recently filed a class-action lawsuit against Rhodium Enterprises, a Bitcoin mining company in Texas, alleging fraudulent activities.
The lawsuit was filed by attorneys from Iacuone McAllister Potter, claiming that the defendants (including Rhodium executives and Imperium Investments Holdings, LLC based in Fort Worth) intentionally misled the plaintiffs by concealing key information and engaging in self-dealing, resulting in total investments of $33 million from the plaintiffs. The case has been filed in Tarrant County District Court. The lawsuit states, 'The defendants intentionally misled and deceived the plaintiffs to secure their millions of dollars in investments so that the defendants could privately enrich themselves and make Imperium wealthy.'
The plaintiffs include dozens of investors in Rhodium, who claim that important facts regarding their investments and Rhodium's business operations were deliberately concealed. Most notably, the lawsuit alleges that the defendants failed to disclose the impending sale of Rhodium's operational facilities to direct competitor Riot Blockchain, a transaction that directly triggered conflicts with key power contracts.