Justin Sun applied for WLFI and its lawyers to pay over 260000 USD in sanctions costs

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Justin Sun has demanded that WLFI pay over 260000 USD in sanctions fees, alleging it concealed information about its UAE shareholders.

BlockBeats reports that on November 4, Tron founder Justin Sun filed with a U.S. federal court, seeking 263,821.20 USD in sanctions fees from the Trump family-affiliated crypto project World Liberty Financial (WLFI) and its lawyers. He accuses them of submitting misleading disclosure documents in their litigation over his 45000000 USD WLFI investment, specifically of concealing UAE-linked parties within the company’s ownership chain.

Justin Sun and two co-plaintiffs claim that WLFI initially listed only Florida as its domicile in court filings, revising the disclosures nearly three months later to list 22 individuals and entities in its ownership chain, including UAE-related parties. WLFI subsequently argued that the federal court lacked jurisdiction on the grounds that the company had UAE ties.

Justin Sun stated that once the sanctions motion is resolved, he plans to refile the lawsuit in California state court. A related hearing is scheduled for December 10. The two sides have previously filed lawsuits against each other regarding the freezing of Sun’s tokens; Sun sued WLFI starting in April, while WLFI countersued in May for defamation.

Original link https://m.theblockbeats.info/flash/375499

Key points

Justin Sun filed a motion in U.S. federal court seeking USD 263,821.20 in sanctions against WLFI and its counsel.
Justin Sun and two co-plaintiffs allege that WLFI filed misleading disclosure documents and concealed UAE-related parties in the chain of ownership.
WLFI revised its disclosure after nearly 3 months, listing 22 individuals and entities in the chain of ownership.
WLFI subsequently argued that the federal court lacked jurisdiction on the ground that the company had a UAE connection.
The relevant hearing is scheduled to be held on December 10.
Justin Sun stated that, after the sanctions application is resolved, he plans to refile the lawsuit in California state court.

AI-assisted interpretation

The following is analysis, separate from reported facts. Verify important claims independently.

This is a legal dispute concerning investment, corporate ownership disclosure, and court jurisdiction. Justin Sun has requested the court to award costs, but at present it is only an application and allegation, and the outcome remains undecided.

Why it matters to readers

If the application is supported, WLFI and its lawyers may bear the relevant costs and face further litigation procedures; jurisdictional disputes may also affect the progress of the case.

“Sanction costs” here refer to costs sought to be imposed on the opposing party for conduct in the litigation, and are not equivalent to criminal penalties.

Risks and unknowns

It has not yet been determined whether the court will accept the application for sanctions.
It remains undetermined whether the court has found that WLFI submitted misleading disclosure documents.
Whether the court has found that the UAE’s affiliation affects its jurisdiction remains undetermined.
It has not yet been determined whether the California state court will reopen the case.

Justin Sun applied for WLFI and its lawyers to pay over 260000 USD in sanctions costs

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