South African Court Grants Order to Liquidate Mirror Trading International After Investors Fail to Withdraw Their BTC
A South African High Court recently granted a provisional liquidation order against Mirror Trading International (MTI) following an application for relief by two investors who failed to withdraw their bitcoin. According to a statement released by lawyers of one of the aggrieved investors, this provisional order paves the way for the appointment of a liquidator to take control of MTI’s assets and liabilities.
Provisional Order
The order by the Cape Town court came after the Financial Sector Conduct Authority (FSCA) reported receiving complaints from investors who failed to withdraw invested funds. The court’s decision also follows reports that Johann Steynberg, the CEO of the alleged online bitcoin scam platform, had skipped the country.
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SA Bitcoin trader MTI under liquidation, CEO flees
Earlier this month, the Financial Sector Conduct Authority announced that Mirror Trading International appeared to have mislead investors on the Bitcoin trading platform. After an investigation into the firm’s operations, the authority found that the company was not licensed to provide financial services and that it had broken several laws. Two law firms, Luitingh and Associates and Vezi and De Beer Attorneys filed separate claims against MTI. Their clients had been unable to withdraw funds. The Cape High Court has granted a provisional liquidation order against the cryptocurrency platform. Luitingh and Associates released a statement saying, “The Master of the High Court will now appoint a provisional liquidator to urgently take control of assets and liabilities at MTI.” – Melani Nathan