Michael Prozer – CEO of XA Interactive, Inc. stands on top of the world as his vindication is finally realized.
Los Angeles, CA — January 11, 2024 — Entrepreneur and former reality television figure Michael Prozer has been vindicated following a hard-fought, decade-long legal battle, as shareholders of his former companies have finalized a confidential settlement acknowledging extensive fraud and misconduct by members of the prior board of directors.
The settlement follows critical admissions from Joel S. Wadsworth, a now-disbarred attorney, who confessed to accepting a $15,000 payment during active litigation against Prozer’s companies — a payment intended to secretly position him within the companies’ leadership to facilitate an internal takeover. According to shareholder allegations, the maneuver was part of a broader scheme orchestrated by former director Edward John Hosch to oust Prozer, seize control of the businesses, and claim valuable intellectual property.
The dispute traces back to 2009, when Prozer’s ventures, xchangeAGENT Inc. and XA Worldwide Inc., became the target of an alleged hostile takeover. Wadsworth’s covert actions, paired with further efforts by Hosch and others, led to an 11-year legal siege, with Hosch attempting to secure judgments amounting to tens of millions of dollars.
Despite limited resources and a period of incarceration during the proceedings, Prozer ultimately prevailed. U.S. District Court Judge Amy Totenberg dismissed all claims against him, finding that Hosch’s lawsuits lacked legal standing and merit. The court affirmed Prozer’s right to seek relief and pursue claims against those involved in the fraudulent schemes.
Wadsworth’s disbarment in both Georgia and Florida followed the exposure of his misconduct, including the attempted board manipulation and additional fraudulent activity involving other clients. Bar records reflect Wadsworth’s acknowledgment of his role in efforts to unlawfully divert ownership of Prozer’s companies.
The confidential settlement reportedly includes admissions of fraud, restitution of intellectual property, and a financial component, though full terms remain undisclosed.
Prozer’s own legal battles were further complicated by revelations from the Court of Appeals for the Eleventh Circuit, which found that his original federal conviction was tainted by undisclosed conflicts of interest. A key federal agent involved in the investigation admitted to personal bias after engaging in a relationship with an individual also dating Prozer — a fact concealed from the grand jury. The agent’s omission was later cited as a critical violation of Prozer’s rights, contributing to his early release from federal custody by over two years.
Today, Prozer leads XA Interactive, Inc., a rapidly growing enterprise engaged in technology development, oil and gas ventures, digital advertising innovation, and the expansion of a proprietary technologies.