Selena Gomez & Her Mental Health Startup Hit With Investor Fraud Lawsuit: ‘Financial Calamity’
Five men allege they were duped into investing $1.2 million in Wondermind based on a "fiction."
Five investors have filed a lawsuit against Selena Gomez and her mental health startup Wondermind, alleging the company engaged in fraud. According to the complaint, Selena Gomez, her mother Mandy Teefey, and former Wondermind executive Danielle Pierson defrauded five men out of $1.2 million in investments in 2022. The investors claim they were misled into believing the company had substantial financial prospects and lucrative operations.
The lawsuit states that the investors were told Wondermind was headed by Selena Gomez as head of marketing, who would leverage her massive social media following to drive the company's success. However, the investors later discovered through an article in The Cut that the company was in financial ruin and that the founders had provided false representations about Wondermind's operations, personnel, and financial status.
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