The internal conflict of the co-founders of Gala Games has led to the filing of dueling lawsuits, each of which alleges serious violations by the former partner.

Eric Schiermeyer, CEO of blockchain gaming platform Gala Games, has filed a lawsuit against Wright Thurston and his investment firm True North United Investments for stealing approximately $130 million in GALA tokens.

The lawsuit alleges that between September 2022 and May 2023, Thurston stole digital assets belonging to Gala Games in a breach of trust. He then exchanged them through a “complex web of intricate transactions.” In addition, Schiermeyer accuses Thurston of misappropriating licenses to operate nodes in the Gala ecosystem, which can bring GALA tokens.

In a counterclaim against Eric Schiermeyer, Wright Thurston denied the allegations against him and claimed that Schiermeyer was guilty of embezzling millions of dollars and using company assets for personal enrichment. In particular, it is alleged that Schirmeyer secretly created subsidiaries of Gala in Switzerland and Dubai, became their majority shareholder and effectively removed Thurston from managing the Gala Games blockchain gaming platform business. He noted that “despite repeated requests,” Schiermeyer had for a long time provided incomplete and incorrect records of current corporate governance.

Entrepreneurs demand through the court the removal of each other from managerial positions in Gala Games, as well as compensation for damages.

In April, cryptocurrency exchange Huobi and Gala Games sued pNetwork validators for alleged collaboration with hackers and the unauthorized issuance of pGALA tokens.