Justin Sun Seeks Sanctions Against World Liberty Financial Over Late UAE Disclosure
Justin Sun wants World Liberty Financial sanctioned, claiming it sat on a key disclosure for months after his lawsuit began. Sun says $WLFI initially listed only Florida citizenship, then amended to name 22 members across Florida, Delaware, Puerto Rico and the UAE — and now argues the federal court has no jurisdiction. He says he'll refile in California.
Justin Sun is escalating his fight with World Liberty Financial. The investor has filed a motion to sanction the project, alleging it withheld a significant detail for months after his lawsuit was underway: that its people hold UAE citizenship. Sun wants the court to penalize WLFI for the late reveal.
Here's the paper trail, per Sun. WLFI's first disclosure named Florida citizenship and nothing else. An amended filing then listed 22 members spread across Florida, Delaware, Puerto Rico and the UAE. Armed with that amended record, WLFI now argues the federal court has no jurisdiction over the case at all.
Sun isn't a casual observer here. He put $45M into WLFI and sued in April, alleging fraud and frozen tokens. The sanctions push adds a procedural front to a fight that was already about money and access.
What happens next hinges on the sanctions motion. Sun says once that's resolved, he'll take the whole thing to California state court and refile there. WLFI, for its part, is betting the federal venue isn't the right room — a bet Sun is now trying to make expensive.
TopicsJustin Sun · World Liberty Financial · WLFI · Florida · Delaware · Puerto Rico · UAE · California
Written by Paparazzi with AI. Not financial advice.