New York Court Dismisses LIBRA Class Action Lawsuit

Judge Jennifer L. Rochon granted motions to dismiss the amended complaint with prejudice, shutting down the litigation that began in March 2025. The court found that Meteora could not be sued as an unincorporated association or partnership, as plaintiffs failed to demonstrate the necessary coordinated membership or common purpose under federal and New York law.

Claims against Benjamin Chow were dismissed for lack of evidence regarding fraudulent intent. While plaintiffs alleged that Chow provided technical infrastructure and liquidity support for the token launches, the court determined these actions did not equate to active participation in a fraudulent scheme. Chow, who resigned from Meteora in February 2025, consistently maintained that his involvement was limited to standard technical advisory services.

Separately, RICO claims against the Kelsier defendants failed because the alleged conduct lacked the continuity required to establish a pattern of racketeering. Furthermore, the court dismissed remaining state law claims against the Kelsier group due to a lack of personal jurisdiction. While the U.S. case is now closed, legal scrutiny regarding the LIBRA project persists in Argentina, where federal authorities are investigating the movement of funds and have moved to freeze wallets linked to the token’s creators.