DMS USA seeks to block $177m RICO ‘shakedown’

(CNS Business): DMS Management (USA) has taken legal action to halt what it calls “an 8 month barrage of extortionate threats” and to prevent the defendant, Steven J. Goodman, from filing a civil suit claiming $177 million in damages as the victim of racketeering. The civil action, filed in the Southern District of New York by Reed Smith LLP on behalf of DMS USA, refers to the threatened civil suit by Goodman, which asserts Racketeer Influenced and Corrupt Organizations Act (RICO) claims against DMS USA, as “a shakedown”. It also accuses him of targeting DMS USA, a marketing company which had no connection to the complaint, so that he could use the threat of RICO rather than sue its Cayman Islands-based affiliate company, DMS Offshore Investment Services, using the courts in Cayman, where if he lost he would be left facing a large tab in court costs. Read more on CNS Business

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