SEC Files Lawsuit Against Lottery.com, Former Execs Over Alleged Fraud
The U.S. Securities and Exchange Commission (SEC) has filed a civil suit in federal court against Lottery.com and three of its former executives, alleging the defendants conducted “a fraudulent scheme” and made “false statements in connection with a SPAC merger.”
Financial Scheme Inflated Lottery.com’s Revenue
In the Jan. 22 filing in the U.S. District Court for the Southern District of New York, the SEC alleges that ex-CEO Anthony DiMatteo, former executives Matthew Clemenson and Ryan Dickinson, and ex-Trident Acquisitions Corp. CEO Vadim Komissarov participated in a fake revenue scheme to inflate Lottery.com’s revenue before and after the merger with Trident Acquisitions Corp.
The merger established a new public company named Lottery.com, Inc. in October 2021. Lottery.com rebranded as SEGG Media Corporation in July 2025.
The SEC’s complaint alleges that Komissarov, DiMatteo, Clemenson, and Dickinson planned and executed a revenue scam in which Lottery purportedly “received $9 million for valueless customer data, booked it as revenue, and then used that $9 million to overpay for two Mexican businesses and, thus, return the $9 million to its source.”
Defendants Allegedly Conducted A Second Revenue Scam
In the weeks before the SPAC merger, DiMatteo, Clemenson, and Dickinson allegedly engaged in a second revenue scam – a fake $30 million sale of advertising credits. Then following the merger, the trio executed two additional fraudulent sales totaling over $35 million.
“According to the complaint, these revenue scams accounted for most of Lottery.com’s purported revenue, misled investors who relied upon Lottery.com’s inflated financials, and caused investors to suffer substantial losses,” the SEC announced in its news release.
The lawsuit states that the board discovered the fraud by mid-2022.
Chief Revenue Officer Clemenson and Chief Financial Officer Dickinson resigned from their positions in July 2022, and DiMatteo stepped down as CEO later that month after the company confirmed that it had overstated its cash balance by $30 million in regulatory filings.
In June 2025, Tim Scoffham was named CEO for Lottery.com International and Sports.com Media Group.
SEC Seeks Permanent Injunctions, Civil Penalties
Furthermore, the SEC asserts that the defendants violated Section 17(a) of the Securities Act of 1933 and Sections 10(b) and 14(a) of the Securities Exchange Act of 1934 and Rules 10b-5 and 14a-9 thereunder.
The complaint also seeks charges against DiMatteo, Clemenson, Dickinson, and Lottery.com for violating Section 13(a), 13(b)(2)(A), and 13(b)(2)(B) of the Exchange Act.
In addition, the SEC seeks further charges against DiMatteo, Clemenson, and Dickinson for breaching Section 13(b)(5) of the Exchange Act and other Exchange Act rules.
The SEC is pursuing permanent injunctions, disgorgement with prejudgment interest, and civil penalties against all defendants, along with officer-and-director bars against Komissarov, DiMatteo, Clemenson, and Dickinson.
In July 2025, Lottery.com, Inc. rebranded as Segg Media Corporation, or Sports Entertainment Gaming Global Media. The company now trades under its new ticker symbol, SEGG.
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