Founded in 2022 by her mother Mandy Teefey, entrepreneur Daniella Pierson, and the superstar singer/actress, Selena Gomez has been accused of defrauding investors of her mental health start-up, Wondermind Global.
Attempting to offer the “world’s first mental fitness ecosystem to democratize and destigmatize mental health for everyone,” on Thursday (8.13,) investors in the trio’s business filed a lawsuit in a Delaware federal court, claiming multiple counts of fraud and breach of contract.
Having invested some $1,200,000.00 in the venture after the founders allegedly “falsely represented that the Company had the infrastructure, leadership, and resources necessary for the Company to launch into a profitable, one-of-its-kind mental health and wellness platform,” the plaintiffs alleged that the partnerships “did not exist, the initiatives never materialized. The app was never built”. “And for three years, while the Company quietly collapsed around them, not one of its founders, officers, or directors said a word to the investors whose money was funding the collapse.”
Including damages, and legal fees, the investors are seeking a jury trial and the return of their investment in Wondermind.
In a statement to USA TODAY, a Pierson spokesperson said:
“Daniella categorically denies the allegations against her and welcomes the opportunity to present concrete documentation and financial records that establish the facts. To be clear, she has never used investor funds for personal expenses. Quite the opposite: Daniella invested her own money into the business and did not draw a salary from the company.”
With her wealth driven by the success of her cosmetics brand, Rare Beauty, Gomez is reportedly a billionaire, yet a press time, representatives for Selena, 34, and Mandy, 50, have not yet responded to the lawsuit.
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Author: Al Dente
Photo: Jennifer Zambrano from Denver, CO, USA