Russell Simmons Recovers Celsius Drink Stock After Legal Battle Tied to Malaysian Bond Fraud
The Def Jam founder previously agreed he would use at least $8.6 million from the lucrative stock holdings to pay past-due settlements.
Russell Simmons is set to regain access to a substantial portion of Celsius stock, following a legal battle involving his ex-wife and her second husband. The case began in 2015 when Simmons, his ex-wife Kimora Lee Simmons, and Leissner jointly purchased nearly 10 million Celsius shares for $3 million. The value of these shares has skyrocketed in the years since, with Celsius now trading at $35.40 per share.
When the shares were seized as part of Leissner's conviction for his role in the 1MDB Malaysian bond fraud, Simmons alleged that his ex-wife had stolen her 49% share of the investment. The two deny any wrongdoing. Simmons has promised to use the recovered Celsius stock to pay off his creditors, who are owed a total of over $11 million.
He has also agreed to pay settlements to six women who accused him of sexual misconduct, amounting to a combined $11.3 million. While many of these claims have been settled, Simmons still owes more than $11 million in total. The remaining Celsius shares not recovered by Simmons will be split between his ex-wife and a longtime friend of Leissner's, while the DOJ will retain the rest as criminal forfeiture proceeds.
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