Pop star Selena Gomez\u2019s legal team is speaking out after she was accused of fraud in a lawsuit by investors who say she failed to fulfil her duties to build and promote her mental health startup.<\/p>\n
Gomez\u2019s lawyer, Mathew S. Rosengart, shared a statement with People and Rolling Stone, saying, \u201cThe allegations that Selena Gomez engaged in any way whatsoever in any purported \u2018fraud\u2019 or other wrongdoing are completely meritless, both factually and legally.\u201d<\/p>\n
\u201cWe will vigorously defend these false allegations and indeed are filing a motion to dismiss the baseless claims against her,\u201d Rosengart added.<\/p>\n
Global News has reached out to Rosengart for further comment, but has not received a response.<\/p>\n
Last week, Gomez and her mother Mandy Teefey were accused of allegedly deceiving investors of their mental health startup Wondermind to continue funding the company, according\u00a0to legal documents\u00a0obtained and viewed by Global News.<\/p>\n
Wondermind was co-founded by Gomez, Teefey and Daniella Pierson in November 2021 and claims to share \u201cdoable ways to put your mental fitness first every day,\u201d according to the website.<\/p>\n
The lawsuit accuses Wondermind and the founders of falsely representing the company\u2019s \u201cinfrastructure, leadership, and resources necessary for the Company to launch into a profitable, one-of-its-kind mental health and wellness platform.\u201d<\/p>\n
The suit also claims that the defendants told the plaintiff\u2019s three things, including that Gomez would be \u201cactively building the Company as its head of marketing,\u201d that Pierson was \u201ca $200 million executive whose prior businesses generated $40 million a year and who had already secured institutional employer partnerships with JPMorgan and Fidelity\u201d and that a \u201cfull slate of revenue-generating initiatives, including advertising deals, celebrity cover stories, and a groundbreaking app, were already underway.\u201d<\/p>\n
\u201cGomez purported to sign a contract obligating her to perform and then ignored it. The partnerships did not exist. The initiatives never materialized. The app was never built,\u201d the legal documents allege.<\/p>\n
It also claims that while Wondermind \u201cquietly collapsed,\u201d the founders allegedly did not say \u201ca word to the investors whose money was funding the collapse.\u201d<\/p>\n
The investors allegedly learned about the news from\u00a0an online article published in September 2025 by The Cut, titled \u201cWhat Happened at Wondermind?\u201d<\/p>\n
The investors claim they put USD$1.2 million into Wondermind and are now accusing the company of securities fraud, common law fraud and breach of contract.<\/p>\n
The lawsuit also shares allegations of investors being given updates that they claim were misleading or false.<\/p>\n
It says that from 2022 to 2025, the plaintiffs \u201cproactively\u201d contacted Teefey and Pierson for updates on the company.<\/p>\n
\u201cWhen the Defendants would provide updates \u2014 either by email or on a phone call \u2014 they concealed the significant operational and financial issues at the Company. Indeed, the Defendants affirmatively misrepresented that the Company was performing well,\u201d the lawsuit alleges.<\/p>\n