Legal Problems
In his teens Freer forged his parents' signature for a loan and was convicted of fraud though Freer says he had his parents' permission to sign on their behalf for a student loan. In 2005 he was fined by a German court for buying luxury cars with bounced cheques under the assumed name of Erik (Eric) Jonsson, though Freer says he cancelled the cheques himself because he "thought he was being sold stolen cars."
In 2006, Los Angeles police raided Freer's Bel-Air mansion and his yacht moored in Marina Del Rey shortly after his alleged associate and partner, Stefan Eriksson, was arrested on various charges, and found twelve rifles and four handguns. Los Angeles County Sheriff's deputies, arrested Freer on suspicion of impersonating a police officer in order to purchase a .44 Magnum handgun. No formal charges were filed and Freer claimed that the whole situation was a misunderstanding.
A civil Racketeer Influenced and Corrupt Organizations Act (RICO) action against Carl Freer, Media Power, GetFugu, many of its officers and directors, and other businesses related to Freer was filed on November 25, 2009 in a United States district court. On August 27, 2010, the court dismissed all of the charges because the alleged conduct would have been actionable as securities fraud and as such could not be pursued as a RICO action. Following the dismissal, GetFugu countersued for defamation, malicious prosecution and attempted extortion, claiming damages of US$ 500 million.
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