ReportWire

Tag: Deel

  • Deel scores a lawsuit win, but not against Rippling | TechCrunch

    [ad_1]

    A Florida judge on Tuesday dismissed a lawsuit filed against embattled HR and payroll provider Deel. And while Deel described this as a “Rippling-aligned” and “Rippling-supported” lawsuit, this is not the infamous lawsuit filed by its rival earlier this year that involved an alleged corporate spy.

    Rippling CEO Parker Conrad even went so far as to write “This litigation has nothing to do with Rippling, we are not a party to it, did not fund it,” in a tweet. (Rippling representatives declined further comment.)

    Still, this is some good news for Deel. In January, a lawsuit was filed in Florida by Melanie Damian, who accused Deel of helping Russian entities sidestep U.S. sanctions by processing payments for Surge Capital Ventures.

    Surge had been subject to a separate U.S. SEC action alleging that the company was involved in a Ponzi scheme that defrauded church members out of $35 million. Damian, a court-appointed receiver for Surge, was tasked with recovering assets, Semafor reported at the time. She filed the lawsuit on behalf of investors, alleging that Deel was responsible for processing the payments. This is the case that was dismissed.

    Deel is attempting to tie this case to the suit filed by Rippling, in part because Damian’s lawyers cited the Racketeer Influenced and Corrupt Organizations Act (RICO).

    Rippling, which is suing Deel in California, is also alleging that Deel violated RICO, as well as the Defend Trade Secrets Act, and California state law, as TechCrunch previously reported. RICO is famously the statute that was originally used to prosecute mobsters.

    Rippling’s lawsuit, however, involves a different set of allegations centered on a Rippling employee who testified in an Irish court that he had been acting as a paid corporate spy for Deel. 

    Techcrunch event

    San Francisco
    |
    October 27-29, 2025

    Deel is clearly hoping that if one court dismisses a lawsuit alleging RICO violations, another court will follow suit. “The ruling invites further questions about the credibility of another baseless set of RICO accusations by Rippling in California,” a Deel spokesperson told TechCrunch in an emailed statement. 

    But as these cases involve different actions and circumstances, we’ll all have to wait and see how the California court responds. Meanwhile, Deel is also suing Rippling, claiming that one of Rippling’s employees was unlawfully impersonating a customer.

    On top of all of that, the person who confessed to being Deel’s alleged corporate spy, Keith O’Brien, successfully obtained a restraining order against people he said were following him and scaring his family. O’Brien is now Rippling’s star witness in its case against Deel. 

    At first, lawyers for Deel denied involvement, but later admitted the company had hired “discreet surveillance” of O’Brien, according to court testimony seen by TechCrunch and first reported by the Irish Independent. 

    “Alex and his father can deflect and delay but they will face the music when we get our day in court,” Conrad added in his tweet, referring to Rippling’s case that names Deel’s founder and CEO Alex Bouaziz and his father, who is chairman and CFO, Philippe Bouaziz.

    “Deel will explore all its options for relief, defend itself vigorously against pending cases and continue to focus on winning in the marketplace,” a Deel spokesperson said in that statement.

    We’re always looking to evolve, and by providing some insight into your perspective and feedback into TechCrunch and our coverage and events, you can help us! Fill out this survey to let us know how we’re doing and get the chance to win a prize in return!

    [ad_2]

    Julie Bort

    Source link

  • Why does every startup want to help you get paid? | TechCrunch

    Why does every startup want to help you get paid? | TechCrunch

    [ad_1]

    Welcome to TechCrunch Fintech (formerly The Interchange)! This week, we’re looking at the piping hot global payroll space, neobank Dave’s financial results and related stock boost, and more!

    To get a roundup of TechCrunch’s biggest and most important fintech stories delivered to your inbox every Sunday at 7:30 a.m. PT, subscribe here.

    The big story

    This week alone, we covered three interesting deals in the global payroll space. For starters, Deel announced it is acquiring African-based payroll and HR software and services company PaySpace in its largest acquisition to date. It also said it’s crossed $500 million in annual recurring revenue (ARR). Then I wrote about Remofirst, a startup out to take on the likes of Deel and Rippling, too, securing $25 million in Series A funding. Also, Tage wrote about how UAE-based RemotePass announced it had raised $5.5 million in Series A funding led by Istanbul-based 212 VC. There’s no question that this space is hot, hot, hot.

    Listen to Alex Wilhelm and I talk more about it on Equity:

    Analysis of the week

    We’re looking at another fintech recording positive financial results. Neobank Dave told us via email that it had achieved profitability for the first time as a public company, notching adjusted EBITDA of $10 million in the fourth quarter and GAAP net income of $200,000. The company also beat guidance for the 2023 fiscal year and reported a 26% increase in non-GAAP operating revenue with a big boost from its ExtraCash offering. Its stock skyrocketed on the news — starting the week opening on March 4 at $22.46, reaching a new 52-week-high of $43.99 on March 7, before closing at $36 on March 8.

    Dollars and cents

    Two-year-old Colombian payments startup Yuno has reached a $150 million valuation with $25 million in Series A funding from investors such as DST Global Partners, Tiger and a16z.

    London-based challenger bank Monzo raised a late-stage funding round of $430 million at a post-money valuation of $5 billion.

    Paris-based business banking startup Qonto is using an undisclosed portion of its cash reserve to acquire Regate, an accounting and financial automation platform.

    Harness Wealth has expanded into the tax advisory space and raised a $17 million extension to its Series A round.

    The Artemis Fund, which invests in underrepresented founders in fintech, commerce and care, closed on its second fund with $36 million in capital commitments.

    What else we’re writing

    Apple’s iOS 17.4 update is primarily about adapting iOS to the EU’s Digital Markets Act regulation. But the company has also released a new API called FinanceKit that lets developers fetch transactions and balance information from Apple Card, Apple Cash and Savings with Apple.

    Georgina Merhom wants to squash the status quo with SOLO, a first-party data collection and reporting engine that integrates user-permissioned data sources, including financial transactions, online records and digital footprints to tell a more complete story about someone’s financial behavior.

    PayPal announced that it’s launching “Tap to Pay” for merchants with an iPhone through the Venmo and Zettle apps in the U.S.

    High-interest headlines

    Capstack Technologies receives strategic investment from Citi Ventures (TC covered Capstack here.)

    Argyle raises $30M to expand automated income, employment verification

    Synctera raises $18.6M in Series A-1 funding (TC covered Synctera’s Series A here.)

    The latest fintech retreat: a $2B challenger to Western Union suspends U.S. services

    Treasury Prime has laid off half its staff (TechCrunch covered its $40M raise in February 2023.)

    Brazilian fintech CloudWalk announces $320.5M revenue, plans U.S. expansion 

    TomoCredit is pivoting into B2B with TomoScore, after a number of reported woes

    Want to reach out with a tip? Email me at maryann@techcrunch.com or send me a message on Signal at 408.204.3036. You can also send a note to the whole TechCrunch crew at tips@techcrunch.com. For more secure communications, click here to contact us, which includes SecureDrop (instructions here) and links to encrypted messaging apps.

    [ad_2]

    Mary Ann Azevedo

    Source link