Court documents filed in response to the operator being granted a temporary restraining order against Dr. Laila Mintas in December claim that the proposed $450m deal was sabotaged by PlayUp CEO Daniel Simic.
Contradicting the operator’s claims, Mintas denies allegations of sabotaging the deal due to failed negotiations to extend her contract.
In November last year, Simic attempted to add additional conditions to the proposed acquisition, including having FTX acquire PlayChip for an additional $105m and offering $65m for Australian key staff, including $25m for Simic himself.
Mintas raised concerns about these conditions and was then frozen out of the business and accused of sabotaging the deal.
The deal did not go through because of Simic’s unreasonable and unethical demands, according to an email from FTX.
Mintas attempted to salvage the sale by recommending Simic’s removal as CEO and offering to resign herself, but only in return for a $10m severance package.
While PlayUp claimed Mintas threatened to “burn the business to the ground,” she claims she was repeatedly told a new contract was being drafted.
Upon joining PlayUp, Mintas claims Simic made false statements about the business, including claims of an upcoming IPO in the US and ownership of a proprietary technology platform.
Her contract was later amended to give her an equity interest, but she was paid half the going market rate and her stake was diluted to 7.5%.
Mintas invested $1.2m of her own funds in the business and secured multiple market access agreements.
PlayUp continued engaging with Mintas even after filing the lawsuit, leading her to believe her contract would be extended and the FTX deal salvaged. However, she was informed that her roles had ceased.
Mintas argues that PlayUp’s lawsuit is a mere ploy and requests the court to reject the submission for a restraining order.
The next hearing is scheduled for early next week.
