American analysis company said in a report that Brazilian company profits depend on pyramid scheme
XP, a Brazilian Financial Services Company, entered Monday (7.Jul.2025) with a lawsuit in the United States against Grizzly Research by defamation. The lawsuit was filed at a federal court in New York, after March 12, which accused XP of operating a pyramid scheme.
The company argues that the report caused damage to over $ 100 million to its business and reputation. According to fintechmany longtime customers, investors and business partners withdrew their funds after the document was released. The information is from the news agency.
According to XP, Grizzly Research and its owner, Siegfried Eggert, would have published the report in a form “blatant, malicious and reckless”To overthrow the company’s stock price and thus profit from positions sold.
In the report, Grizzly says that XP would operate a “”, which would be “Enabled through the sale of certain derivatives to retail customers, who are channeled by special funds and falsely presented as profits for proprietary operations”.
Grizzly said the scheme “probably involves illicit activitiesAnd that XP would be non -profit without it.
Bernard L. Madoff went into history because he was responsible for one of the world’s largest financial fraud. Bernie Madoff, as she was known, was arrested in 2008 for creating a large financial pyramid scheme. Died in April 2021.
He was considered a powerful investor for years. Created his company in the 1960s, Bernard L. Madoff Investment Securities. Over the years, he raised customers and has been reputing as a wise from finance.
The scheme, practiced by Madoff for at least 16 years, is known as Ponzi. In short, he paid existing investors with new customers money.
Madoff Guarantee to customers consistency, attracting those who suspected a volatile financial market that promised great profits in a short time. The former magnata was considered one of Wall Street’s most reliable, as he always delivered the profits he had predicted.
The scheme collapsed in 2008, when the United States faced a financial crisis that led investors to try to withdraw the amount invested with Madoff. The money, however, did not exist.
XP called Grizzly’s accusations as “proven false”Said the funds cited by the research company Gladius and Coliseu did not have external investors. According to the company, the transactions questioned were in accordance with the applicable Brazilian law.
Contacted by Reuters, The company’s press office in Brazil declined to comment on the case.
