Mt. Gox, the bankrupt Bitcoin exchange, should have its U.S. assets immediately frozen, Illinois resident Gregory Greene, who sued on behalf of holders of the digital currency, said in a court filing.
Freezing the assets is necessary to give “any hope of recourse” to victims of the exchange, Greene said in a motion for a court order.
Mt. Gox, which started as a marketplace for illustrated trading cards used to play the game “Magic: The Gathering,” is under investigation by prosecutors and regulators examining the use of the digital currency.
The exchange said Feb. 24 it had lost 750,000 Bitcoins belonging to users and 100,000 more of its own. It filed for bankruptcy Feb. 28 in Tokyo and said its debt exceeded its assets by 2.7 billion yen ($26.4 million).
The case is Greene v. Mt. Gox Inc., 14-cv-01437, U.S. District Court, Northern District of Illinois (Chicago).
CFTC, SEC Budgets Increases Sought for Dodd-Frank Enforcement
The Commodity Futures Trading Commission, under the budget introduced this week, would receive $280 million, a 30 percent increase from current levels, though 10 percent below President Barack Obama’s request from a year ago.
The agency has warned it lacks resources to fully oversee derivatives trading.
The Securities and Exchange Commission would be funded at $1.7 billion, an increase of 26 percent, to support enforcement, examination and other programs.
EU Parliament Lawmakers Publish Bank Crisis Law Compromises
European Parliament lawmakers submitted compromise proposals on a bank crisis law in a bid to advance talks with national governments, the assembly said in an e-mailed statement.
The texts are intended to be used as a “last attempt” to negotiate a planned single resolution mechanism for euro-area banks, said Elisa Ferreira, the assembly member in charge of the draft law.
Legislators, who remain far apart on the issue, plan to vote on the draft law in April whether or not there is a deal, according to a statement co-signed by other lawmakers involved in the talks.
Barclays, Deutsche Bank Accused of Gold Fix Manipulation
Barclays Plc (BARC), Deutsche Bank AG and three other banks were accused in a lawsuit of manipulating the London gold fix.
Kevin Maher, a New York resident who said he bought and sold gold, gold futures and options, sued March 4 in Manhattan federal court claiming the five banks overseeing the century-old benchmark colluded to manipulate it. He is seeking to represent a class of investors who held or traded gold and gold derivatives.
Authorities around the world, already investigating the manipulation of benchmarks from interest rates to foreign exchange, are examining the gold market for signs of wrongdoing.
“We believe this suit is without merit and will vigorously defend against it,” Renee Calabro, a spokeswoman for Frankfurt-based Deutsche Bank, said in an e-mail.
The case is Maher v. Bank of Nova Scotia (BNS), 14-cv-01459, U.S. District Court, Southern District of New York (Manhattan).
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