QuadrigaCX Receives Term Extension to Locate Missing Funds

QuadrigaCX

QuadrigaCX’s term has been extended by the Canadian Supreme Court to allows them to find their investors’ missing funds of $140 million.

The QuadrigaCX team has been granted an additional 45 days to find the money to which only the late CEO allegedly had access to. According to a recent report, a judge from a Canadian supreme court in Nova Scotia gave the exchange more time to find the missing $140 million in crypto which belonged to the platforms’ investors. During the course of these 45 days, users of the platform are not able to sue the exchange.

Progress at last

Quadriga’s lawyers stated in court on Tuesday, that they have been progressing in their search for their customers’ missing money.

They said that the team needs some more time to finalize the process of recovering the lost data and assets.

The judge, Michael Wood, approved the appointment of a CRO (Chief Restructuring Officer) by the Ernst & Young (EY) company, which will be responsible of the trading platform and any companies related to it while EY is tracking the missing funds.

The CRO appointment was made at the request of the widow of CEO Gerald Cotten, Jennifer Robertson, citing that she received that much negative attention because of the case.

Peter Wedlake from Grant Thornton is the CRO that has been selected. Instead of a high monthly fee, he will be charging an hourly rate to reduce overall costs.

The judge stated that the CRO’s would have a more formal role, as he would only be involved in protecting the interests of investors under the CCAA (Companies’ Creditors Arrangement Act). The CRO can also try to bring the entire thing to bankruptcy and liquidation level by selling the exchange in the future.

Funds recovered

It was reported earlier that $100 million in Ethereum, a portion of the missing crypto, has already been found.

A recent report stated that when the cold vaults of QuadrigaCX were checked, nothing was in them. But after a revision of their list of transactions, experts now think that almost 650,000 ETH might have been transferred by the CEO to major exchanges- Kraken, Bitfinex, and Poloniex – to keep the funds secure.

Exit mobile version