Mandy Teefey is speaking out.
The 50-year-old mother of Selena Gomez issued a statement following the news of a lawsuit filed by Wondermind SRS 44 LLC and Bespoke Wondermind LLC against Selena‘s mental health company Wondermind Global, Selena, Mandy, and their former business partner, Daniella Pierson.
Why Are Selena Gomez & Mandy Teefey Being Sued?
Selena and Mandy are accused of deceiving investors to put money into a struggling business, and the lawsuit cites allegations that Mandy struggled with substance abuse.
The companies are suing for securities fraud and seeking unspecified damages, including the return of their investments and other damages.
How Did Mandy Teefey Respond?
Mandy denied the substance abuse allegations and claims that the company was in disarray, and issued a statement obtained by TMZ: “It’s unfortunate that a few disgruntled employees with an ax to grind can spread lies about me and distort the truth. Even more disappointing that the media is willing to amplify their lies.”
What Are the Wondermind Investors Alleging?
The suit claims that Selena and Mandy made false claims about the company’s infrastructure and resources needed to launch the business, resulting in over $1 million investments. They also claim former business partner Daniella falsely represented her past successes in the business world and how much money investors would see in return.
“For three years, while the company quietly collapsed around them, not one of its founders, officers or directors said a word to the investors whose money was funding the collapse,” the suit reads, claiming that investors had no idea until an explosive report in The Cut last September.
They claim the article included allegations of Mandy‘s substance abuse and mismanagement, and Selena‘s “abject dereliction of her duties to the company,” and allegations that Selena distanced herself from the company amid personal struggles with her mother.
The suit claims they confronted Mandy about the claims, and she tried to blame ex-business partner Daniella, who had left the company already.
In the Cut article, Mandy was accused of snorting what employees believed was “a line of Ritalin” in her office. Other employees alleged that Mandy had vitamin IV drips administered regularly by a “rotation of nurses,” while another nurse would give her liquid Benadryl. Mandy vehemently denied the drug use allegations in a statement at the time.
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