Awasthi v. Intel Corporation

District Court, N.D. California·Decided July 9, 2025·No. 3:24-cv-05621·Unknown

Opinion

1 2 3 6 7 VINAY K. AWASTHI, Case No. 24-cv-05621-WHO

8 Plaintiff, ORDER GRANTING MOTION TO 9 v. DISMISS & DENYING MOTIONS TO STAY IN CASE NO. 24-5621; DENYING 10 INTEL CORPORATION, et al., MOTION TO DISMISS AND REMANDING IN CASE NO. 25-4056 Defendants. 11 Dkt. Nos. 24, 44, 52 12

13 VINAY K. AWASTHI, Case No. 25-cv-04056-WHO 14 Plaintiff, 15 v. Dkt. Nos. 5, 23 16 INTEL CORPORATION, et al., 17 Defendants. 18

19 Former intel employee Vinay K. Awasthi filed these two cases against defendant Intel 20 Corporation and defendant Christina Laetz based, generally, on allegations that Intel was engaged 21 in fraud by releasing products for sale that were not ready; when Awasthi complained or notified 22 others at Intel, Intel ignored him and then subjected him to fraud, retaliated against him by 23 terminating his employment, engaged in surveillance of Awasthi’s home and cell phone (through 24 “foreign agents” and with the assistance of Laetz), and attempted to poison him with “nerve 25 agents” and narcotics. See Case No. 24-5621, Dkt. No. 1 (“Complaint”), Dkt. No. 21 (“First 26 Amended Complaint” or “FAC”); Case No. 25-cv-4056, Dkt. No. 1, Ex. A.1 27 1 In Case No. 24-cv-5621, filed on August 21, 2024, and in the First Amended Complaint 2 (“FAC”) filed on April 2, 2025, Awasthi alleges claims against Intel and Laetz for violation of his 3 civil rights, fraud, personal injury, violation of the False Claims Act (“FCA”), and violation of the 4 federal Racketeer Influenced and Corrupt Organizations Act (“RICO”). Dkt. Nos. 1, 21. 5 Case No. 25-cv-4056 was originally filed on April 3, 2025, in state court. Dkt. No. 1. The 6 only express cause of action on the first page of that Complaint is for “wrongful termination” 7 seeking “severance.” However, as in the other case, the state court Complaint alleges in passing 8 that from 2015-2025 Intel was engaged in “fraud + extortion, drugging, invasion, wire fraud 9 (using foreign agents), to prevent whistleblowers [] to speak out against fraud or go to court.” 10 Compl. in 25-cv-4056 at ECF pg. 19. The civil cover sheet in the state court Complaint selects a 11 claim for wrongful termination. At some point, it appears that Awasthi also selected claims for 12 fraud and RICO (id., ECF pg. 38), although the fraud and RICO claims appear to have been 13 “whited out” and initialed by Awasthi. Id.; see also Dkt. No. 13 (Awasthi “removed RICO and 14 Fraud and only elected Wrongful termination”). Intel removed the state court case to this court on 15 May 9, 2025, based on the purported RICO claim reflected on the civil cover sheet. Dkt. No. 1 ¶¶ 16 1, 6-8. 17 The factual background to both cases is the same: after Awasthi complained or reported 18 that Intel products were not ready for release or were not performing as promised, Intel retaliated 19 against Awasthi by terminating him without severance and then engaged, with Laetz and others, in 20 surveilling him, extorting him, and poisoning him. 21 I. CASE NO. 24-5621 22 Intel moves to dismiss the FAC in Case No. 24-5621. It argues that the lengthy, mostly 23 handwritten FAC is largely incomprehensible and should be dismissed for violating Rule 8’s 24 25 in the two cases, I sua sponte Order the Clerk’s Office to relate them. See Civil Local Rule 3-12. 26 Laetz has appeared in Case No. 24-56521 pro se and filed an answer denying all of the claims asserted against her. Dkt. No. 30. As explained below, because Awasthi’s RICO and other claims 27 are implausible and fanciful, Case No. 24-5621 is DISMISSED without leave to amend. No 1 “short and plain statement” requirement.2 It also argues that Awasthi has not stated and cannot 2 state a RICO claim because he has failed to identify a RICO “enterprise” separate from Intel (as 3 the “person” and business)3 and because Awasthi’s allegation of RICO harm – based on 4 surveillance and attempted poisoning – are fanciful, fantastic, and/or delusional.4 It moves to 5 dismiss each of plaintiff’s other claims – for personal injury, violation of civil rights, and labor 6 violations – because the factual and legal bases for the claims are either not identified in the FAC 7 or because they too are presumably based on Awasthi’s fanciful, fantastic, or delusional assertions 8 regarding surveillance and attempted poisoning. Dkt. No. 25 in Case No. 24-5621. 9 Awasthi filed multiple “oppositions” to the motion to dismiss. See Case No. 24-5621, Dkt. 10 Nos. 28, 31, 38 (filed after Intel’s reply), 42 (same).5 He argues the case should not be dismissed 11 because he has alleged how Intel’s products were not ready for release or could not perform as 12 Intel marketed them, how he complained to Intel about those products, and as a result, how he was 13 bullied, terminated for refusing to participate in Intel’s fraud regarding the products, and then 14 suffered as Intel fired him and hired “outside agent for drugging, home-invasion, wirefraud and 15

16 2 Under Rule 8(a), “[a] pleading that states a claim for relief must contain: (1) a short and plain statement of the grounds for the court's jurisdiction . . .; (2) a short and plain statement of the 17 claim showing that the pleader is entitled to relief; and (3) a demand for the relief sought, which may include relief in the alternative or different types of relief.” The short and plain statement 18 requirement is not a heavy one, plaintiffs are not required to set out the facts supporting their claim in detail, but just a statement of the claim “‘that will give the defendant fair notice of what 19 the plaintiff's claim is and the grounds upon which it rests.’” Lee v. City of Los Angeles, 250 F.3d 668, 679 (9th Cir. 2001). 20

3 See Living Designs, Inc. v. E.I. Dupont de Nemours and Co., 431 F.3d 353, 361 (9th Cir. 2005) 21 (“To be sure, if the ‘enterprise’ consisted only of [the company] and its employees, the pleading would fail for lack of distinctiveness.’”) (citing Cedric Kushner Promotions, Ltd. v. King, 533 22 U.S. 158, 158 (2001)).

23 4 A judge may dismiss “claims describing fantastic or delusional scenarios,” but may not dismiss merely based on a belief that the allegations are unlikely. Denton v. Hernandez, 504 U.S. 25, 32 24 (1992) (internal quotation omitted); see also Gottschalk v. City & Cnty. of San Francisco, 964 F. Supp. 2d 1147, 1158 (N.D. Cal. 2013) (“A court may dismiss as frivolous, claims that are clearly 25 baseless, fanciful, fantastic, or delusional.”).

26 5 Intel filed a motion to strike the multiple, improper replies. Case No. 24-5621 Dkt. No. 44. While improper and largely duplicative, Intel’s motion to strike is DENIED. I have considered all 27 arguments raised by Awasthi in each of his filings. None is successful. They further support my 1 wiretap using Stingray.” Dkt. No. 28; see also Dkt. No. 31 (Awasthi refused to engage in RICO 2 fraud to enable Intel to sell deficient products); Dkt. No. 38 (alleging Intel engaged in “criminal 3 solicitation” by hiring engineers under false pretext to engage in fraud with respect to Intel’s 4 products and “age discrimination” as “Older employees were hinderance to fraud!” and employees 5 were forced to engage in fraud or face “nerve agents” and “foreign agent” surveillance). 6 The harms Awasthi complains of – other than some of the allegations regarding his 7 treatment as an Intel employee and his termination – are simply not plausible. Awasthi repeatedly 8 alleges that he was harmed when: (1) Intel surveilled him through “Stingray;” (2) engaged in a 9 “home invasion” involving ADT and Laetz; (3) hacked his emails and monitored his phone; (4) 10 drugged him with “daily low dosages of nerve agent in [his] coffee”; and (5) attempted over 200 11 times to put nerve agents in his food.

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