So, let's recap. Billy Mitchell and Apollo Legend have their settlement, and meanwhile Karl Jobst and his buddies are planning on plunging the knife into Apollo Legend (credit to
@Jacob for pointing out that they turned on Apollo Legend because he refused to contribute to a coordinated campaign against RWhiteGoose for wrongthink). They follow through with these plans, Apollo Legend kills himself, and names Karl Jobst's friends. Karl reads on Reddit and other unverifiable anonymous sources that Apollo killed himself because Billy Mitchell took money from him (ignoring the note Apollo left naming Karl's friends). Karl alleges in a video, in an extremely conniving and deliberate manner, that this suicide was Billy Mitchell's fault. People watch the video, believe it, and repeat the claims hundreds of times, at least.
Keem reaches out and talks to Karl, and as a result, Karl edits out that particular portion of the video. During this time, Billy puts up a video about the defamation, after which Karl informs him that the portion was edited out. Karl then receives a concerns notice from Billy's lawyers over the next couple days demanding a suitable retraction, and Karl admits he disregarded it because he doesn't take Billy seriously, then republishing the original defamatory claims. Afterwards, Apollo's brother confirms that it's untrue, so Karl removes it again. Then, in order to make sure "as many people see it as possible," Karl hides a retraction at the end of a video which has nothing to do with Billy Mitchell, Apollo Legend, or anything else related to the topic.
The retraction is found to be insufficient, of course, and the lawsuit is brought forth. Karl spends $200k of his own money on the lawsuit, and then receives other concerns notices from Billy Mitchell about other instances of potential defamation. Karl, now claiming to take the concerns notices extremely seriously, starts the GoFundMe on the basis that these new concerns notices might turn into lawsuits (despite evidence suggesting that Queensland rules would prohibit any new lawsuits from being brought). Around this time, he receives the $250k from Notch. Australian news then covers the lawsuit, furthering the "it's about cheating" narrative, and Karl Jobst inserts clips from these news broadcasts into his own content uncritically.
Karl continues to release dozens of Youtube videos about Billy Mitchell's cheating, never clarifies that the other concerns notices for which he was soliciting donations were never advanced into lawsuits, and takes a bunch of MDMA and Valium while raising his child Bigus Dickus with his paid-in-full wife. He still collects all the GoFundMe money, enlists sloptubers like Charlie to be a star witness despite having literally nothing to do with any of the central claims in the case, and goes to trial. His toothless foot soldier Walter Cuddeford liveblogs the whole thing painting a distorted picture of the proceedings.
The ruling comes down, Karl Jobst loses like a bitch, Billy Mitchell becomes a folk hero overnight, and then Karl tweets out that he will repay everyone what they're owed and give them a solid explanation of everything. Then, he takes 2 weeks to slop together a bunch of lies and obfuscation about the lawsuit, actively downplaying his blatant deception used to solicit monetary donations, and now blames the very same news broadcasts which he championed beforehand for spreading misinformation about the lawsuit.
Cherry on top? In his private trannycord server, he quietly backtracks on repaying anyone anything, says he's not going to pivot away from his hypocritical content, and that his completely free-to-view sloptent is how he's repaying the hundreds of thousands of dollars he took under, in the most charitable of interpretations, extremely dubious circumstances.
Yeah, he's a piece of shit.
EDIT: Added an important bit of context at the beginning I was missing.