Forgame Holdings Limited, a company listed on the Hong Kong Stock Exchange and a significant shareholder of Redrock Biometrics, Inc. ("Redrock"), has announced decisive legal action against HumanCode AI. The allegations center around the unauthorized use of Redrock's proprietary technology and a series of deceptive practices aimed at undermining Redrock's market position.
HumanCode AI, led by Hua Yang and Zhang Dong (aka Tim Zhang), is accused of exploiting Redrock's proprietary palm print identification technology. This misuse is considered a serious breach of trust and legal duties. The specific unethical actions cited by Forgame Holdings Limited include:
- Theft of Proprietary Software: HumanCode AI allegedly used Redrock's palm print identification technology without authorization to advance its own business interests.
- Investor Misrepresentation: The company is accused of misleading investors by falsely claiming ownership of Redrock's technology and clients, which include major corporations like NCR, Mastercard, Qualcomm, Epson, and Sony Life.
- Fiduciary Breach: Executives at HumanCode AI are alleged to have leveraged their roles at Redrock to benefit their own company, violating fiduciary duties.
- Non-Compete Violation: HumanCode AI is accused of establishing and promoting a competing enterprise using Redrock's technology, in direct breach of non-compete agreements.
Forgame Holdings Limited has outlined specific demands in a legal letter sent to HumanCode AI. These demands include the immediate cessation of all use and promotion of Redrock's proprietary technology, the halt of any activities involving Redrock's intellectual property, the return of all misappropriated intellectual property, and written confirmation of compliance within seven days.
Failure to meet these demands will result in comprehensive legal action, including claims for breach of fiduciary duties and violation of non-compete agreements. Forgame Holdings Limited is prepared to seek substantial damages and injunctive relief to prevent further misuse of Redrock's technology.
A representative from Forgame Holdings Limited stated, "The actions of HumanCode AI and its leadership are nothing short of corporate theft and deception. This egregious misuse of Redrock's proprietary technology and violation of trust cannot and will not be tolerated. Forgame Holdings Limited is committed to taking all necessary legal steps to protect Redrock's intellectual property and ensure that those responsible are held accountable for their unethical actions."
This announcement underscores the seriousness with which Forgame Holdings Limited views the protection of its investments and intellectual property. The legal action against HumanCode AI serves as a critical reminder of the importance of ethical business practices and the severe consequences of corporate theft and deception in the technology sector.
