ARC Gaming and Technologies, formerly known as Lucky Bucks, has lodged a RICO lawsuit against its former top executives, alleging their involvement in a colossal fraud scheme that purportedly drained approximately $200 million from the company prior to its bankruptcy declaration. The legal action, filed in Fulton County Superior Court, targets key figures in the previous management, including founder Anil Damani and several high-ranking employees.
The lawsuit, announced on January 2, claims that the accused individuals systematically pillaged Lucky Bucks through a series of fraudulent activities, diverting funds through various unlawful methods. Lucky Bucks, a significant player in Georgia’s coin-operated amusement machine sector, filed for Chapter 11 bankruptcy in June 2023, attributing its financial distress to heightened competition and regulatory challenges.
ARC Gaming and Technologies alleges that the defendants, including Anil Damani, Tony Kassam, and Imran Ali, orchestrated an intricate scheme involving deceptive transactions, misappropriation of proprietary information, and breaches of fiduciary duties. Moreover, the lawsuit asserts that the former executives employed shell companies and rival entities under their influence to divert contracts and assets away from Lucky Bucks.
The complaint further alleges that Damani and his associates borrowed hundreds of millions of dollars from lenders, channelling the majority of the funds for personal gain. Instances of selling customer contracts back to Lucky Bucks at inflated prices and tampering with serial numbers on machines before resale in various states are also outlined.
The lawsuit stems from a comprehensive investigation conducted by industry experts hired by new shareholders in September 2023 to scrutinise Lucky Bucks’ operations. Combining forensic analysis and employee interviews, the investigation culminated in the formal filing of the complaint.
Although Lucky Bucks emerged from Chapter 11 bankruptcy in October 2023, ARC Gaming and Technologies remains steadfast in its pursuit of justice, aiming to recoup the embezzled funds and assets, which include $200 million labelled as “fraudulent and illegal dividends.”
Anil Damani vehemently denies the allegations, dismissing them as unfounded and trivial. His legal team affirms his standing as a successful entrepreneur and community leader, expressing confidence in prevailing against the claims in court.
As legal proceedings unfold, ARC Gaming and Technologies is focused on its future trajectory, having successfully navigated the restructuring process and poised for growth in the Georgia coin-operated amusement machine landscape. The company intends to appoint new executives to key positions, ensuring a steadfast management team committed to ethical governance and advancement.
