US Mt Gox Victims Notch Legal Win Against CEO of Infamous Bitcoin Exchange
Mark Karpeles, the former CEO of the notorious Mt Gox, has lost the motion to strike a lawsuit against him on the grounds that plaintiffs - specifically the defunct bitcoin exchange's US victims - are likely to be reimbursed eventually.
Earlier this week, Karpeles filed a motion to stay that US lawsuit against him because civil rehabilitation proceedings are likely to compensate the plaintiffs, Mt Gox victims Gregory Greene and Anthony Motto, making the lawsuit unnecessary.
Karpeles' defense team argued that the case should be stayed to conserve judicial resources and avoid frivolous legal expenses on all sides, also stating that a class action was not the appropriate channel to resolve the dispute between Karpeles and the former Mt Gox customers.
The Court recently indicated that it would not support the claims made by Karpeles in a separate case being brought by the former CEO against Mt Gox clients.
Mark Karpeles, a founding member of the Bitcoin Foundation, had acquired Mt Gox in 2011.
Karpeles faces a verdict in his Japanese trial later this month, where he stands accused of embezzling $3 million from Mt Gox.
Crypto billionaire Brock Pierce - who claims to be the current owner of Mt Gox - has unveiled a blockbuster plan to revive the infamous exchange.Source: https://www.ccn.com/us-mt-gox-victims-score-against-ceo-of-bitcoin-exchange