MyPillow CEO Has Filed A RICO Lawsuit To Get Out Of Repaying A $600,000 MCA Loan He Received. 

The wackiness of MyPillow CEO Mike Lindell keeps chugging along with no end in sight. A recovering crack addict, Lindell wasted millions of dollars trying to claim baseless drug induced election rigging conspiracy theories in court. All the asinine and futile litigation and a defamation lawsuit have forced Lindell to pull out a $600,000 MCA loan. He pulled out the high-interest loan in a desperate gambit to save his company.

In September, Lindell signed the paperwork and received $600,000 from the lender. However, he now feels should not have to pay it back. So, he filed a RICO lawsuit against the company.  

Election Conspiracy Theorist Says He Shouldn’t Have To Pay Back The Loan

Last week, the conspiracy theorist sued several lending companies over the repayment terms of a $600,000 MCA loan.

Lindell and his company must pay back $16,800 each day under the terms of the agreement.

The 34-page lawsuit states the plaintiffs claim the agreement was “usurious, unconscionable and thus unenforceable.”

Lindell’s lawyers stylized the suit as a racketeering (RICO) complaint. However, the lawsuit accuses various lenders of issuing a loan under the guise of a contract. The agreement like all MCA loans states the lender agrees to purchase future receivables at a discount. In this case, MyPillow agreed to repay the face value of its receipts through daily payments.

The lawsuit alleges the lender wrote the loan terms in a way to skirt New York State’s statutory maximum interest rate.

The plaintiffs say the effective interest rate on the “loan” equates to 368%. It increases to 441% if origination fees of $36,000 are factored in.

Lindell says he and his companies bore the risk of non-payment of any receivables. They also remained on the hook for the entire amount at issue. 

In addition, the lawsuit alleges Lindell and his companies always remained liable for the debt.

Lindell claims the lender never made a bona fide purchase of My Pillow’s receivables under the MCA Agreement. Thus, the MCA agreement is a usurious loan.

MyPillow CEO Mike Lindell Keeps Making Bad Decisions. 

Lindell also says the lender snookered him into signing the fraught financial contract. He claims the lender dangled promises of a secondary loan that never materialized. He claims it was a bait and switch.

Lindell also alleges one of the named defendants is a broker. He claims the broker told him that he had to agree to the MCA loan to get a real estate loan.

The lawsuit also alleges the primary lender refused to give Lindell the real estate loan after they gave him the $563,000.