Wizard World Co-Founder Fired, Sued For Alleged Theft Valued Above $1M
According to multiple reports, Stephen Shamus, co-founder with his brother Gareb Shamus, of Wizard World Inc., has been fired from the convention and promotions company. In addition, the former Chief Marketing Officer is being sued, with the suit alleging that Stephen Shamus “abused his position of trust to misappropriate substantial sums, believed to exceed $1 million, and caused other losses.”
The New York Post seems to have broken the news this morning, but the site BleedingCool has a copy of the suit, filed in the United States District Court, Southern District of New York. The suit claims that Shamus abused his position to get access to autographed photos and other memorabilia that should have been sold through some Wizard World event or function, and sell it outside Wizard World for his profit and that of “confederates.” From the filed suit, as posted on BleedingCool:
For many years, defendant Shamus illicitly obtained autographs and other memorabilia from the celebrities retained by Wizard World and sold them for his own benefit and that of his confederates. Indeed, Shamus often negotiated money-losing deals for Wizard World in order to gain access to celebrities whom he could exploit for his own enrichment. Defendant Shamus thus diverted substantial funds and resources, all generated and paid for by Wizard World, to himself and his co-conspirators.
The suit doesn’t name any of the “co-conspirators,” calling them simply “John Does 1-10.” With 10 more names to come, expect this scandal in the convention scene to have long arms and a wide reach.
Stephen Shamus’ brother Gareb resigned from the board of Wizard World Inc, and as Wizard World CEO back in December of 2011. Four months later the company named John Macaluso as CEO and he served in that role until April of this year, when he resigned after the company posted a $4.3 million loss for 2015. Wizard World named board chairman John Maata as CEO and it is Maata that sent the termination letter to Stephen Shamus on Oct. 27. That letter is also posted on the BleedingCool site.
