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The Securities and Exchange Commission has sued Lottery.com and several of its former executives, accusing them of carrying out a series of fraudulent deals that inflated the company’s revenue.
Filed in Manhattan federal court on January 22, 2026, the complaint names ex‑CEO Lawrence Anthony DiMatteo, former executives Matthew Clemenson and Ryan Dickinson, and Vadim Komissarov, head of Trident Acquisitions Corp., the SPAC that merged with Lottery.com.
Regulators say the group set up false transactions worth tens of millions of dollars to push the merger forward and mislead investors.
Fake Deals at the Center of the Case
According to the SEC, the first scheme involved $9 million paid for customer data that had no value. Lottery.com recorded it as revenue, then used the same money to overpay for two businesses in Mexico, sending the money back to its source.
In the weeks before the SPAC merger, DiMatteo, Clemenson, and Dickinson arranged another fake deal, a $30 million sale of advertising credits. After the merger, they carried out two more false sales worth over $35 million.
The SEC says these fake deals made up most of the company’s reported revenue, leaving investors facing big losses when the truth came out.
The complaint accuses the defendants of violating multiple provisions of federal securities law, including fraud and false reporting rules under the Securities Act of 1933 and the Exchange Act of 1934.
Lottery.com itself faces charges for failing to maintain proper records and disclosures, while its former executives are accused of aiding and abetting those violations. The SEC is asking the court for permanent injunctions, civil penalties, and bans preventing the individuals from serving as officers or directors of public companies.
Clemenson and Dickinson Agree to Settle
Without admitting the allegations, Clemenson and Dickinson agreed to settle. They accepted permanent bans from violating securities laws and from holding leadership roles in public companies.
Both also agreed to pay “pay disgorgement, prejudgment interest, and/or a civil penalty in an amount to be determined by the court, upon motion by the SEC.”
Lottery.com’s Rise and Quick Fall
Lottery.com entered the market with big promises, calling itself the modern answer to lottery tickets, the way Uber changed rides or DoorDash changed food delivery. The plan was to take the old paper system and move it into the digital world. But the plan didn’t last long.
Trouble at the company began in 2022 when it admitted that it had overstated its cash balance by $30 million, a huge figure compared to its $40 million market value at the time.
DiMatteo resigned as CEO soon after, following the earlier exits of Clemenson and Dickinson. By mid-2022, the board had uncovered the fraud and removed the executives, but the company’s market value had already dropped from about $400 million to under $10 million. Most of the board later resigned as well, leaving investors with heavy losses.
