AI startup sues ex-CEO, saying he took 41GB of email and lied on resume

"Carson is said to have surreptitiously sold over $1.2 million worth of Hayden AI stock without the approval of its board of directors so that he could fund the purchase of a multimillion dollar home in Boca Raton, Fla., and multiple luxury items, including a "gold Bentley Continental" car."

"As he was being iced out of key company decisions, Carson is said to have asked an employee to download his entire 41GB email file onto a USB stick, including a large amount of proprietary information."

"Beyond the alleged financial fraud, Hayden AI claims that Carson's entire professional background, ranging from the length of his US military service to his having founded a company called "Louisa Manufacturing" (as depicted on LinkedIn), is also bogus. The complaint calls Carson's CV a "carefully constructed fraud.""

""That is a lie," the complaint states. "Carson does not hold a PhD from Waseda or any other university. In 2007, he was not obtaining a PhD but was operating 'Splat Action Sports,' a paintball equipment business in a Florida strip mall.""

Hayden AI filed a civil complaint against its former executive Carson for unauthorized stock sales exceeding $1.2 million in early 2024, allegedly used to purchase a Boca Raton home and luxury vehicles including a gold Bentley. Following a formal investigation beginning in July, Carson requested an employee download his 41GB email file containing proprietary information onto a USB stick. The company terminated Carson in September 2024, shortly after he registered the echotwin.ai domain. Beyond financial fraud allegations, Hayden AI claims Carson's entire professional background is fabricated, including his military service history and founding of Louisa Manufacturing. The complaint specifically disputes Carson's claimed doctorate from Waseda University in Tokyo, asserting he was actually operating a paintball equipment business in Florida during 2007.

Read at Ars Technica