Fans Are PISSED At Karl Jobst After TRUTH Comes Out In Billy Mitchell Lawsuit

Karl Jobst Loses Defamation Lawsuit to Billy Mitchell — And Fans Feel Betrayed Community Fallout Grows as Crowdfunders and Fans Alike Learn the REAL Truth Behind the Case... It Wasn’t About “Cheating” After All.

This one is legit INSANE! I did not see it coming at all. In a stunning conclusion to one of the most infamous legal battles in recent... or nay, even going so far to say retro gaming history, Australian YouTuber Karl Jobst has now officially lost his defamation case to former Donkey Kong champion Billy Mitchell, and fans are not happy—not just at the ruling, but more interestingly... at Jobst himself, for how he portrayed the situation.

Full disclosure: I consider Karl Jobst a colleague and even somewhat of a friend of the channel. He’s always been incredibly cordial in every interaction we’ve ever had, and he even assisted me in creating one of my videos exposing Jirard the Completionist.

So... it’s genuinely tough for me to see things end like this. That being said, Karl isn't perfect, and neither is Billy for that matter... Which is what makes this case so intriguing in the first place.

After what feels like years of leading the charge against Mitchell’s allegedly fake Donkey Kong high scores, Jobst became a hero to many retro gaming purists and digital sleuths. Fighting back against cheaters and putting the gaming community in a place of respect and trust. But now that the court ruling is in—and more importantly, now that the actual content of the lawsuit has come to light—supporters are beginning to feel pretty... well... used.

I covered the entire gamut of what I could on my livestream (below - about an hour long but worth the watch), and huge shoutout to NicholasDeOrio for the VOD and chat with Keemstar... Who ultimately played a massive role in what the judge ultimately ended up deciding. Keemstar was the connecting piece who was directly referenced by the judge as implicating Karl Jobst in the wrong, and how Jobst knowingly was pushing false information, even after being informed by Keemstar that it wasn't accurate.

The Fallout: A Community Feels Lied To

From the start, Jobst framed the lawsuit as a fight for truth in gaming, focused primarily on exposing Mitchell’s supposedly illegitimate scores. I believed this to be the case as well, but as it turns out, it had very little to do with what he was ACTUALLY being sued by Billy for. His followers, many of whom donated thousands of dollars to help cover legal expenses, rallied behind him under the belief that he was being sued because he exposed a cheater. I can't say I blame anyone, because Karl comes across as a very trustworthy person, and it was easy to take him at his word. But as it turns out... That was a bad idea.

According to the official court ruling, that wasn’t the core of the lawsuit at all.

Judge Ken Barlow found five specific defamatory imputations in Jobst’s content—most notably, his suggestion that Billy Mitchell’s lawsuit against Apollo Legend (Ben Smith) was somehow a contributing factor in Smith’s tragic suicide. Like, in other words, this wasn’t a case about scoreboard fraud at all—it was about a character assassination... and the judge wasn't having it.

The info coming to light here has left most folks in the community absolutely stunned. The very thing Jobst obsessed over for seemingly forever—the cheating allegations—wasn’t even what cost him the case at the end of the day. Fans now feel misled, even manipulated.

A HARSH $220,000 Reality Check

Karl Jobst has been ordered to pay AU$350,000 (roughly around $220,000 USD) to Billy Mitchell in damages, including AU$50,000 in aggravated damages due to Jobst reposting the offending content and mocking the lawsuit.

In a statement on X, Jobst admitted defeat:

“I lost. The judge found Billy to be a credible witness and believed his entire testimony… I know many of you will be upset with this and I am sorry for that.”

But for many, the 'apology' to everyone came WAY too late. Jobst's admission that he may not be able to repay everyone who donated has only poured more fuel on the fire. Some fans have called it a “grift,” others saying it was a “bait and switch.” And the trust that once underpinned his tight-knit community of truth-seekers and high-score watchdogs is beginning to unravel quickly, in real time, and honestly... I've never seen anything like it.

Billy Mitchell Basks in Victory

Meanwhile, we got Billy Mitchell over here taking his victory lap, and has wasted no time celebrating. In a series of smug posts, he declared:

• “Nothing like the smell of victory in the evening air.”

• “Billy Mitchell always has a plan.”

• “Thank you to everyone who supported me, I am grateful.”

  
  

It’s salt in the wound for Jobst and his followers, many of whom once saw Mitchell as the main villain. Now, with this verdict, the roles feel disturbingly ...reversed.

Where Does Karl Go From Here?

While Jobst says he’ll consider his legal options moving forward, the damage may already be done. I'd like to think he will appeal and hopefully the courts will have some mercy, but my goodness. This is rough. Not just to his bank account, but to his reputation. His platform was built on credibility, integrity, and standing up to corruption in gaming. But the revelation that his lawsuit wasn’t about cheating at all has undercut that very foundation.

More than anything, this case has shown me just how quickly public trust can vanish—almost instantaneously - especially when people feel they were misled into funding something that wasn’t what it actually ended up being.

Whether Karl Jobst can bounce back is unclear. But one thing's certain: the retro gaming community is left feeling burned, and the narrative has dynamically shifted in ways no one saw coming. What began as a crusade for truth has ended in controversy, confusion, and community betrayal.

And for Billy Mitchell? This wasn’t just a legal win—it was a PR victory that may have turned the tide in the most unexpected of ways. Geez... I swear... Never a boring day out here.

~Smash