Lucky Bucks Alleges Former Executives in $200 Million Fraud Scheme

ARC Gaming and Technologies, previously operating as Lucky Bucks, has taken legal action against its former top executives, leveling accusations of orchestrating a colossal fraud scheme that drained approximately $200 million from the company prior to its financial collapse.

The lawsuit, officially unveiled on January 2, exposes the alleged systematic plundering of Lucky Bucks, where the accused individuals are claimed to have diverted funds through a variety of illicit methods. Lucky Bucks, a major player in Georgia’s coin-operated amusement machine industry, sought refuge in Chapter 11 bankruptcy in June 2023, attributing its financial woes to increased competition and regulatory pressures.

ARC Gaming and Technologies contends that the defendants, which include founder Anil Damani, Tony Kassam, and Imran Ali, masterminded a complex plot involving deceitful transactions, misappropriation of trade secrets, and breaches of fiduciary duties.

The lawsuit further claims that the former executives employed shell companies and rival businesses under their control to redirect contracts and assets away from Lucky Bucks.

The company alleges that Damani and his associates borrowed hundreds of millions of dollars from lenders, only to allocate the lion's share of the funds among themselves. The complaint also details instances of reselling customer contracts to Lucky Bucks at inflated prices and tampering with machine serial numbers before selling them in various states.

The lawsuit was set in motion following a comprehensive investigation conducted by industry experts hired by new shareholders in September 2023 to scrutinize Lucky Bucks’ operations. The input of forensic investigators, litigation case analysis, and employee interviews culminated in the filing of the formal complaint.

Despite Lucky Bucks emerging from Chapter 11 bankruptcy in October 2023, ARC Gaming and Technologies remains resolute in holding the former executives accountable for their alleged unlawful activities. The company's goal is to recover the misappropriated funds and assets, which includes $200 million in what they deem "fraudulent and illegal dividends."

Anil Damani, the founder and former owner, vehemently denies all allegations, asserting that the claims lack merit and are without substance. Damani’s legal team expresses unwavering confidence in their ability to prevail in court, characterizing him as a successful entrepreneur and a pillar of the community.

As the legal proceedings progress, ARC Gaming and Technologies remains focused on its future. Having successfully navigated a restructuring process, the company is poised to announce new appointments to key executive positions, ensuring a dedicated management team committed to responsible governance and growth.