FLORIDA
COMPLAINT OUTLINES A PREMEDITATED AND MASSIVE FRAUD PERPETRATED BY
BRECKA AND WORKINGER OVER AN 18 MONTH PERIOD, AND INCLUDES CLAIMS
FOR FRAUDULENT INDUCEMENT, UNFAIR COMPETITION, BREACHES OF
EXECUTIVE SERVICES AGREEMENTS, MISAPPROPRIATING COMPANY RESOURCES,
BREACHES OF FIDUCIARY DUTIES, AND FOR A CONSTRUCTIVE TRUST OVER ALL
SIDE BUSINESSES AND ASSOCIATED PROFITS
MIAMI, March 18,
2025 /PRNewswire/ -- Following three months of
additional investigation after the original filing of its federal
trademark lawsuit against the Gary Brecka-managed entity "The
Ultimate Human, LLC," Cardone Ventures LLC and its subsidiary 10X
Health Ventures LLC filed two additional multi-million-dollar
lawsuits on March 17, 2025.
A new complaint filed in Miami-Dade
County, Florida state court, sets forth how 10X Health
ex-senior executives, Gary Brecka
and Sage Workinger, allegedly
perpetrated a massive fraud against 10X Health and its majority
owner, Cardone Ventures.
As detailed in the Florida
complaint, Brecka was a relatively unknown "biohacker" with a
history of broken business relationships, running an
underperforming strip mall operation with his then-partner/now
wife, Sage Workinger, before
presented with the opportunity to align with Grant Cardone and Brandon Dawson in a new venture, 10X Health.
With Cardone's relationships and marketing, along with Dawson's
savvy business building and scaling system, revenues skyrocketed in
the succeeding three years from $4
million to $120 million, while
Brecka's and Workinger's combined net income catapulted from just
hundreds of thousands of dollars per year to $11.2 million.
However, the relationship soon soured in early 2023 when 10X
Health removed Brecka's daughter from certain patient-facing
activities for compliance-related reasons. With Brecka's backing,
his daughter resigned from 10X Health and opened a business to
which Brecka would funnel 10X Health clients. Brecka then forced
his daughter to share between 50-100% of transactional revenue with
him, threatening that he would report her new entity to the
authorities for providing services without a license unless she
capitulated.
At the same time, some 18 months before 10X Health was forced to
terminate them, Brecka and Workinger retained a law firm to advise
them in "NON-COMPETE LITIGATION," and covertly established a
competing business structure. At the very time their contracts
dictated they devote "substantially all" of their time to 10X
Health, Brecka and Workinger used 10X Health assets and personnel
to secretly build multiple, unauthorized side businesses,
partnerships, and co-marketing and equity arrangements that they
allegedly value at $100 million, from
which they earned over $13 million in
2024 alone.
The complaint summarizes revelations from a recent resignation
letter authored by Ultimate Human's own CFO, in which he
states:
- At your direction, business and ownership arrangements were
structured specifically to circumvent the non-compete provisions of
the 10X Health business, a practice I am uncomfortable
participating in.
The Complaint's allegations recount instances where persons
other than partners and family members were victimized and
villainized. In one more example from the resignation letter of
Ultimate Human's CFO, he describes how Brecka berated employees and
threatened to "burn" the CFO and his family to the ground:
- I have on several occasions witnessed extremely volatile
behavior, including threats toward employees and partners over
perceived injustices or mistakes. On the evening Akemi was
terminated you told me that "you would burn me and my family to the
ground." Last week on 2/28/25 you
told the entire team that you had the wrong management team in
place and "didn't know what the fuck we do all day" after a word
was omitted from a slide in your presentation. In this manner,
individuals have been villainized to fit the level of anger
displayed, which has created an unstable work environment.
In the Florida lawsuit, Cardone
Ventures and 10X Health seek a clawback of more than $15 million paid to Brecka and Workinger, the
disgorgement of all profits from their unauthorized activities, an
assignment of all rights and profit interests arising from the side
businesses and other relationships formed during the term of their
agreements, an injunction against further breach of their
non-competition clauses, and additional damages and relief under
Florida law.
In the Delaware lawsuit,
Cardone Ventures and 10X Health allege that IJS Presentations, LLC
and Turning Point Holdings, LLC (the companies through which Brecka
and Workinger hold their minority ownership interests in 10X
Health) breached the 10X Health operating agreement by actively
competing with 10X Health, both during and after Brecka's and
Workinger's tenure at 10X Health, and by publicly disparaging 10X
Health and its products. Cardone Ventures and 10X Health seek
damages, declaratory relief, and an injunction.
Cardone Ventures' previous lawsuit against Ultimate Human, LLC
for infringement of the mark ULTIMATE HUMAN ANALYSIS® is entering
the discovery phase in the U.S. District Court for the Southern
District of Florida (Miami). In its Amended Complaint filed on
February 6, 2025, Cardone Ventures
asserts claims of trademark infringement and unfair competition,
and seeks cancellation of the ULTIMATE HUMAN trademark.
Businesses and individuals who may have experienced
circumstances with Gary Brecka
similar to those alleged in the above Complaints may leave
confidential information for the legal team to review at
legal@cardoneventures.com. The legal team can also supply copies of
the Complaints upon request.
Contact Media@CardoneVentures.com
View original
content:https://www.prnewswire.co.uk/news-releases/cardone-ventures--10x-health-ventures-file-two-additional-lawsuits-in-florida-and-delaware-state-courts-against-gary-brecka-sage-workinger-and-their-affiliated-companies-302404710.html
