Good day everyone,
I hope you are all having a good day, welcome to CryptoGod-1's blog on all things crypto. In this post I will be looking at how David Geffen has countersued Justin Sun over a disputed sculpture.
David Geffen Countersues Justin Sun
A dispute involving the "Le Nez" a sculpture which was purchased by David Geffen in a 2022 deal valued at approximately $65 million in artwork and cash is the centre of a lawsuit between himself and Justin Sun. The Billionaire media mogul Geffen has filed a countersuit against crypto entrepreneur Sun in a legal battle which is contesting the ownership of the multimillion-dollar sculpture by Alberto Giacometti.
Justin Sun is known for being the founder of the Tron Blockchain and he originally purchased the piece at a Sotheby’s auction in 2021 for $78 million. He did so with the assistance of his then-art adviser, Xiong Zihan Sydney. Sun filed a lawsuit in February alleging that Xiong stole the sculpture and sold it to Geffen without his authorisation.
On the 16th of April Geffen fired back with a 100-page filing. Within the filing he called the suit from Sun a “sham” and accused Sun of fabricating the claim after being unable to resell the two artworks he received in exchange for the sculpture. Geffen also claimed that he paid Sun an additional $10.5 million in cash as part of the deal. The countersuit stated:
“Sun’s claims are utterly without merit and represent a bad-faith attempt to interfere with Geffen’s lawful ownership of the sculpture.”
It was also suggested by Geffen that Sun is under financial strain following a series of crypto market crashes and this move is stemmed by the multimillion-dollar hacks targeting his exchanges Poloniex and HTX. Geffen feels that Sun is looking to reclaim the artwork as part of a broader effort to recover losses. The 82-year-old media mogul has called Sun’s lawsuit “a sham” and “a bad-faith, tortious attempt to interfere with Geffen’s ownership of Le Nez.” His legal team argues that “seller’s remorse is not a basis to sue.”
The bronze, steel, and iron sculpture was imagined in 1949 and eventually cast in 1965. It features a stylized human head with an extended nose suspended in an open metal frame.
The case features many key disputes which include whether Xiong admitted to theft, inconsistencies in the amount allegedly stolen, and whether Sun is still in possession of the exchanged paintings and funds, which Geffen asserts are being held by dealers. Geffen's filing allege that back in November 2024 Xiong informed art dealer David Tunkl that “Sun intended to hire U.S. lawyers to contrive a lawsuit to pressure Geffen to rescind the deal” due to the fact they were unable to sell the paintings at a high enough price.
Geffen also alleges that a pattern of misconduct by Sun, which includes references to lawsuits filed by former employees who claimed they were punished for refusing to engage in unethical or illegal business practices, shows the unethical nature of Sun. The countersuit paints Sun as someone with a track record of deception and legal manipulation. The countersuit also points to key inconsistencies in Sun’s claims, which includes Sun claiming Xiong lacked authority to make deals when she originally bid on the Giacometti on Sun’s behalf at the Sotheby’s auction.
Sun’s legal counsel, William Charron, responded by strongly rejecting Geffen’s narrative. He dismissed Geffen’s version as “extremely misguided” and went on to state that Xiong acted independently of Sun. He also stated that on April 17.
“Ms. Xiong confessed to her theft, was arrested in China, and is in detention in China today. Mr. Geffen’s pleading is extremely misguided. We eagerly look forward to litigating this case and to recovering Mr. Sun’s property.”
The countersuit also notes that Xiong remains listed as a director of APENFT, Sun’s cyber-exhibition platform, despite her alleged theft. It is also claimed by Geffen that Sun never filed a police report against Xiong and that adds further doubts to the theft narrative. The case highlights the intersection of traditional art collection and new crypto wealth, with both sides levelling serious accusations.
Have a great day.
Peace. CryptoGod-1.
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