A donor who provided Donald Trump’s presidential campaign with $850,000 worth of Bitcoin is currently facing a class-action lawsuit due to allegations of fraud. Gary Cardone, the donor, along with his company Chargebacks911 and co-owner Monica Eaton, have been accused of using deceptive practices within their business. The defendants have denied the accusations and have tried unsuccessfully to dismiss the case. Despite the significant donation to Trump’s campaign, it is small in comparison to the reported $50 million received from another billionaire donor, Timothy Mellon. This is not the first time Cardone’s donors have faced scrutiny.
The legal complaint against Cardone and his co-defendants was initially filed in 2023 and turned into a class-action lawsuit on August 13, 2024. The lawsuit was filed by consumers who allege that they were deceived by Brightree Holdings Limited in the sale of diet pills. The plaintiffs claim that the accused parties’ actions allowed Brightree to continue sales by minimizing chargebacks to banks and credit card companies from customers seeking refunds for wrongly charged diet pills. The defendants maintain that Brightree stopped paying their bills, leading to an account pause and termination by Chargebacks911. Cardone retired before the suit was filed, and the company plans to vigorously defend against the lawsuit.
The plaintiffs’ attorneys believe that the case will result in more than $70 million in damages. Cardone and Eaton disputed the lawsuit filed against them and attempted to dismiss the case three times, unsuccessfully. They pointed out that bad actors in the online retail space may use services such as Chargebacks911 to handle chargebacks. The defendants also opposed the case becoming a class-action suit, arguing that there is no legal basis for it. This lawsuit comes after Chargebacks911 reached a $150,000 settlement with the Federal Trade Commission and Florida over similar issues related to alleged online scams, banning the company from working with certain types of merchants.
Cardone has also contributed to other Republican causes in addition to donating to Trump’s presidential campaigns. He has made donations to various Republican figures, including entrepreneurs and political candidates. His brother, Grant Cardone, has also made donations to Republican politicians. It was noted that Cardone’s sister-in-law started a GoFundMe page to help Trump pay a fine received in a civil fraud trial and has also made donations to his campaign. Eaton has denied any unethical business practices and asserted that the company looks forward to moving forward and continuing its work. Despite the allegations and legal challenges, the defendants maintain their innocence and plan to defend against the class-action suit.
