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US game publisher Valve sues Singapore-based GESC over $750,000 debt: report

(Screenshot: Global Electronic Sports Championship/Facebook)
(Screenshot: Global Electronic Sports Championship/Facebook)

SINGAPORE — A US game publisher has sued Singapore-based tournament organiser Global Electronic Sports Championship (GESC) over unpaid prizes and wages totalling US$750,000 from two Dota 2 Minor events, GESC Indonesia and Thailand, according to an esports site.

Valve Corporation filed the lawsuit on 8 April this year in Singapore’s High Court, the company’s vice president of marketing, Doug Lombardi, told Dot Esports.

The various issues with GESC and its CEO Oskar Feng arising from the tournaments, which were held in March and May last year, were listed in an open letter from the “teams, players, talent and agencies that attended GESC events in 2018”.

“The players and teams have not yet received their prize money from the organisation from either of these two events. This, despite GESC having an agreement in place with Valve to adhere to the 90 day limit on prize money pay-out.

“In addition, Code Red Esports, Layerth and several other independent companies and individuals remain unpaid (either in full or part) for their services, conducted professionally and delivered on time and without complaint,” the letter said.

The on-screen talent and independent contractors who were involved in producing the events have also yet to be paid, according to the letter.

Earnings and qualification points from GESC Indonesia and Thailand go towards The International 2018, the largest Dota 2 event of the year.

According to GESC’s website, each of the two tournaments came with the prize money of US$300,000, “the largest prize purse in the country”. GESC promotes itself as “a Singapore-based esports property that aims to become the leading esports brand in Asia”.

Despite GESC and Feng saying that they would resolve the issues on many occasions, they continue to miss deadlines for payment, the letter said. Feng has also been attending esports events in Asia and touted his “successful events” in 2018, it added.

“Our agreements with tournament operators require timely payment to participants. We feel this is vital to the success of these events long term,” Lombardi told Dot Esports.

Yahoo News Singapore has reached out to GESC for comment regarding Valve’s claims.