Selena Gomez Accused of Fraud by Mental-Health Startup Investors

Pop star Selena Gomez is being accused of fraud by investors who claim she failed to deliver on promises to leverage her global celebrity and social-media following to promote her mental-health startup, which collapsed last year. The startup, Wondermind Global Inc., claimed a valuation of $95 million (S$121.67 million) when it sought money from investors in 2022 to develop products, including a mobile app, according to a lawsuit filed on Aug 13 in Delaware federal court. Gomez, one of the founders, served as “chief impact officer” and head of marketing, the suit said. But Wondermind lied about its prospects, and never developed the products or revenue it had promised, according to the suit filed by five investors. Gomez ignored her contractual obligations to the company in part because of her “long-running personal struggles with her mother,” Mandy Teefey, who was a co-founder and co-chief executive officer, the investors claim. #PopstarSelenaGomezisbeingaccusedoffraudbyinvestorswhoclaimshefailedtodeliveronpromisestoleverageherglobalcelebrityandsocial-mediafollowingtopromotehermental-healthstartup #whichcollapsedlastyearThestartup #WondermindGlobalInc #claimedavaluationof95millionS12167millionwhenitsoughtmoneyfrominvestorsin2022todevelopproducts #includingamobileapp #accordingtoalawsuitfiledonAug13inDelawarefederalcourtGomez #oneofthefounders #servedas“chiefimpactofficer”andheadofmarketing #thesuitsaidButWondermindliedaboutitsprospects #andneverdevelopedtheproductsorrevenueithadpromised #accordingtothesuitfiledbyfiveinvestorsGomezignoredhercontractualobligationstothecompanyinpartbecauseofher“long-runningpersonalstruggleswithhermother #”MandyTeefey #whowasaco-founderandco-chiefexecutiveofficer #theinvestorsclaim