Insomniac settles corruption lawsuit, ending the six-year battle.
Over the last several years, the story of Pasquale Rotella’s alleged multimillion-dollar corruption case with the Los Angeles Memorial Coliseum is brought into the light again and again. Because of the death of an underage attendee to EDC’s last LA event in 2010, authorities discovered evidence leading to possible illegal activity between Insomniac, GoVentures, and two managers of the LA Coliseum: ex-events manager Todd Destefano and GM Patrick Lynch.
To recap, the Coliseum sued Insomniac AND Go Ventures for “engaging in unlawful and unfair business practices.” DeStefano pleads guilty to his own set of criminal charges some time ago and was sentenced to jail time in addition to owing the Coliseum commission $500,000. Rotella and GoVentures CEO Reza Germani both plead no contest to a misdemeanor conflict of interest charges, with Rotella agreeing to serve three years of probation and pay $150,000 to the LA county and Germani paying $30,000.
On Monday, Insomniac agreed to pay $3.5 million to the government settle the civil lawsuit, effectively ending the legal battle altogether.
“I’m so pleased to finally be putting this matter behind me,” Rotella said in an emailed statement. “It’s been a long journey to get where we are, and I’m excited about what’s next for me in my hometown of Los Angeles.”
Because Germani applied for Bankruptcy in November 2016, his civil case has stayed indefinitely.