The first crack in the dam of the Illiquid and Excessively-Leveraged Cardone Empire has happened. Susman Godfrey L.L.P. has filed a securities class action lawsuit against Scientologist Grant Cardone, Cardone Capital, and Cardone Equity Funds V and VI. The press release below details specifics. Scroll down to read the complaint.

NEW YORK, Sept. 21, 2020 /PRNewswire/ — Susman Godfrey L.L.P. (“Susman Godfrey“) today announced that the firm has filed a securities class action lawsuit on behalf of persons or entities who purchased or otherwise acquired interests in Cardone Equity Fund V, LLC and Cardone Equity Fund VI, LLC (the “Funds”) pursuant to their public offerings (the “Class”). The case was filed in the United States District Court for the Central District of California, Case No. 2:20-cv-08499-JFW-KS against Cardone Capital, LLC and Grant Cardone.

The class action asserts claims for violations of Sections 12(a)(2) and 15 of the Securities Act of 1933. The complaint alleges that defendants made materially false and misleading statements and omissions of material fact regarding, among other things, investors’ expected rates of return on their investment.  In this action, plaintiff seeks, among other things, an award of rescission or rescissory damages and prejudgment interest.

If you wish to serve as a lead plaintiff in this matter, you must file a motion with the Court no later than 60 days from today, or by November 20, 2020. Any member of the proposed Class may move the Court to serve as a lead plaintiff in this matter through counsel of their choice, or they may choose to do nothing and remain a member of the Class.

If you wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact: Krysta Kauble Pachman, Esq. of Susman Godfrey L.L.P. at (310) 789-3100 or via e-mail at kpachman@susmangodfrey.com.

About Susman Godfrey 
Susman Godfrey is a nationwide trial law firm with a talented group of lawyers who handle high-stakes litigation for both plaintiffs and defendants. Because we work both sides of the “v.” we know what the other side is thinking. With more than 150 trial lawyers from coast to coast, we handle the most challenging cases throughout the country. We offer a broad range of creative, flexible fee structures which align our and our clients’ interests. Traditional hourly billing accounts for a very small percentage of our work. Because we often share risk with our clients, evaluating cases accurately is crucial, and we do it early and often. Visit susmangodfrey.com to learn more about our unique approach to winning cases.

Contact: 
Krysta Kauble Pachman, Esq.
kpachman@susmangodfrey.com  
(310) 789-3100

The Complaint: