AMC Entertainment (NYSE:AMC) CEO Adam Aron, famous for leading the APE retail trader movement, announced on X, formally known as Twitter, that he was the subject of a blackmail attempt last year that resulted in the imprisonment of the person committing the crime.
"... last year I became the victim of an elaborate criminal extortion by a third party who was unknown to me related to false allegations about my personal life," Aron said. "Rather than give in to blackmail, I personally engaged counsel and other professional advisors and reported the matter to law enforcement. I did so knowing I risked personal embarrassment."
It was reported by Semafor that Aron was involved in text conversations that included sexually explicit images and messages with a woman who attempted to extort hundreds of thousands of dollars from him using fabricated identities.
The woman was identified in court documents as Bronx resident Sakoya Blackwood.
Subsequently, Blackwood fabricated additional personas and contacted Aron through online burner accounts, assuming the roles of a phony ex-boyfriend and a fictitious Vanity Fair reporter who falsely claimed to have accessed some of the messages. She insisted on receiving a substantial sum of hush money, and went so far as to threaten to expose the photos and messages to the media and AMC's board. At one juncture, she even shared the private cell phone numbers of six directors with Aron via text.
Aron said a federal criminal inquiry was launched, leading to the apprehension and subsequent conviction of the extortionist on a felony charge, resulting in their incarceration for nearly a year.
Upon the person's arrest, the U.S. Attorney for the Southern District of New York praised Mr. Aron for his action of reporting the incident to both the FBI and the U.S. Department of Justice.
The CEO said he was asked to keep this matter confidential during their investigation and subsequent court case.
Shortly following the extortionist's sentencing in July 2023, Aron said he notified AMC's Board of Directors, who conducted a comprehensive examination of these occurrences in collaboration with independent legal counsel from WilmerHale.
Aron thanked AMC shareholders for their support.