Paramount’s Jeff Shell Accused in Lawsuit of Leaking UFC, WBD Info

A professional gambler and FBI informant has made good on his threat to take legal action against Paramount Skydance president Jeff Shell, as attorneys for Robert “R.J.” Cipriani have filed a 67-page complaint against the media exec in Los Angeles County Superior Court.

Among the allegations Cipriani has brought against Shell are breach of oral contract and fraud, charges related to a reformatted Spanish-language TV show that never got off the ground. The court document claims that Shell broke “a clear promise to help [the] plaintiff develop an English-language version” of Roku Channel’s four-part series Serenata de las Estrellas, which was co-produced by Cipriani in 2023.

Cipriani is suing Shell for $150 million in damages.

“This case arises from the oldest form of fraud: A powerful man took everything a less powerful man had to offer, promised to repay him, lied to him when he asked about it and then refused to compensate him at all,” the second paragraph of the complaint states.

Cipriani claims he had provided Shell with what amounts to 18 months of “sophisticated, high-value crisis communications services,” all of which went uncompensated. Shell allegedly agreed to develop Star Serenade, an adaptation of Serenata, in exchange for these services, but did not follow through.

The legal document also includes allegations that Shell had disclosed sensitive information about the Paramount’s bid to acquire the Warner Bros. Discovery assets. Cipriani states that Shell in a Feb. 2 meeting had told him that PSKY “intended to enhance and ‘sweeten’ its pending hostile tender offer … to $30 per share in cash,” information that was not made public until Feb. 10. (Cipriani claimed that Shell during that same meeting referred to WBD CEO David Zaslav as a “suck-up.”)

Cipriani went on to state that Shell told him, “We’re paying way too much for Warner Bros. If we could just wait another year, we could get it a whole lot cheaper.”

Paramount and WBD formally entered a $111 billion merger agreement on Feb. 27. Should the deal be met with regulatory approval, the combined CBS Sports/TNT Sports portfolio will bring the rights to the NFL, NHL, MLB, college football, the UFC, the Masters and March Madness under one roof. Shell did not participate in the briefing Paramount convened with analysts the following Monday.

A few pages deeper into the complaint, Cipriani stated he had filed a complaint with the Securities and Exchange Commission related to disclosures Shell had made to him regarding the then-pending $7.7 billion Paramount-UFC deal. Cipriani claims Shell told him about the pact 26 days before it went public. Shell is said to have shared details of the negotiations with Cipriani despite the fact that “even UFC president Dana White did not yet know of the transaction.” (Oddly enough, Cipriani’s complaint alleges that Shell characterized the talks as “very hush hush” while he was spilling the beans.)

The legal complaint includes a screen shot of what appears to be a WhatsApp conversation between Cipriani and Shell, in which the latter states, “We are buying ALL of the UFC rights for the next 7 years for Paramount.”

When a draft of Cipriani’s complaint began circulating last month, an attorney representing Shell said the document was “riddled with clear errors of fact and law.” With the complaint now filed, Shell will have to opportunity to formally rebut Cipriani.

Shell is currently the subject of an internal Paramount investigation related to Cipriani’s claims and is expected to remain on the sidelines until the inquiry is complete. That said, no official action has been taken, and he remains on the job as of Tuesday afternoon.