(PatrioticPost.com)- Rep. Madison Cawthorn (R-NC-11) was named in a class-action suit today.
A class-action lawsuit was brought against the maker of the Let’s Go Brandon crypto meme coin today, Rep. Madison Cawthorn (R-NC-11). The case, submitted on April 1st by disgruntled investor Eric De Ford, named James Koutoulas, the creator of LGBCoin, NASCAR racer Brandon Brown, and conservative commentator Candace Owens co-defendants. For his involvement in the social media marketing and support of the troubled cryptocurrency, Cawthorn is referred to as a “celebrity endorser.”
A photo shared on Koutoulas’ Instagram on December 29th depicts Cawthorn and the founder at a party, and it’s not the picture but Cawthorn’s statement beneath it that has so many scratching their heads. The phrase “Tomorrow we travel to the moon” may sound innocent enough, but according to Dylan Hedtler-Gaudette, government affairs manager for the Project for Government Oversight, it suggests Madison Cawthorn knew the contentious cryptocurrency would appreciate the following day.
Brandon Brown of NASCAR and Brandonbilt Motorsports, also mentioned as a defendant in the action, made a public announcement on December 30 that they will be working with LGBCoin as sponsors in 2022. Shortly after, the shares soared by 75% to a $570 million valuation.
The market capitalization value was 0 by the end of January. What led to the sharp decline? The rejection of LGBCoin as a sponsor on January 4th and the unloading of shares by LGBCoin insiders, in James Koutoulas’ opinion, were both factors.
This elevates Cawthorn’s involvement to a level where there may be both criminal and civil consequences. In multiple instances, Cawthorn identified himself as the “owner” of the coin. Cawthorn would be in breach of the Stock Trading or Congressional Knowledge Act of Congress if he benefited from holding cryptocurrency, which is thought to be the case. All politicians are supposed to report any cryptocurrency they own that is worth $1,000 or more.
The STOCK Act states that “any non-public information derived from the individual’s position…or gained from performance of the individual’s duties, for personal benefit” would be a violation. Despite Koutoulas’ defense of Cawthorn, he claims that “it is not technically or legally possible for a decentralized meme coin that exists to promote free speech and charitable giving to be classified or treated as a security,” this is incorrect.
Sen. Thom Tillis is one person who doesn’t buy that justification (R-NC). In a tweet on Tuesday, he stated that not only that, but Cawthorn also introduced H.Res.937 in February to “deregulate cryptocurrencies and incentivize blockchain innovation,” creating a conflict of interest given that the rookie congressman continues to advertise LGBCoin by attending Freedom Fight Night in Florida with Koutoulas and appearing in advertisements for the cryptocurrency’s promotion.
Two weeks before Cawthorn’s proposed legislation, the Let’s Go Brandon Coin was reintroduced in February. At the time of publication, Coin Market Cap lists it at 0.00000000113, a 95 percent decline from its high of 0.0000008263 on February 9th.
Cawthorn’s driver’s license was seized, and he tried to smuggle a gun on a plane. The type of legal counsel Cawthorn will require is not inexpensive. It sounds like Cawthorn will need his earnings from LGBCoin.