Topic: [ANN] Bitcoinica Consultancy abandons customers. Bitcoinica to enter Liquidation - page 8. (Read 54938 times)

He actually stated that the funds belong to a "friend" of his for whom he was doing a favour selling LR.  That makes it difficult for AurumXchange to release the funds to anyone until both their source and the legitimacy of of their origin can be established.  If Zhou can't establish the funds as his, he can't give permission for them to be released to the Bitcoinica MtGox account (originally said he was going to do that and get the funds back of Chen - if Chen was able to reimburse him for that then Chen should be able to come up with another $40,000 to be sent through Patrick Murck).

So how much has Zhou Tong stolen and not yet returned?


@AurumXchange should keep the funds locked.  Zhou has stated they are his personal funds, so it is between him and AurumXchange.  He is keeping our bitcoins to fund his personal mistakes.  In other words, he's charging a fee for stealing from us. 

"Zhou" took funds recovered from "Chen" hostage in order to circumvent AML-regulations for suspicious private transactions at AurumXChange. According to him these funds locked at AurumXchange belong now to us Bitcoinica-creditors (which also means Zhou still privately holds further stolen funds). Even though I despise him for tricking his private funds free the question remains:


@AurumXchange can you unlock these funds and send them into the MtGox trust account? please give a status update.

3 month passed after the incident...

looks like i have to keep wasting my time reading this forum and keep an eye out for a new claim process?

I've lost track a bit of exactly what's been lost and recovered.  From memory (please correct me):

Linode theft; X BTC (losses covered by investors I believe)
Rackspace theft: 20% of BTC; 0% of USD
MtGox API theft: 40,000 BTC; 200,000 USD

Is this right?  Does anyone know where that puts all the creditors as a percentage of their deposit?

Are we working on 50% of balances returned?  70%?  80%?  100% seems unlikely.

September and Gavin come to mind.

~Bruno~

When the name of the liquidator is announced (it's usually a chartered accountant), people will need to lodge a claim form with them. The claim forms are pretty basic.  The liquidator will set a cut-off date for lodging forms and after that date they'll give creditors a rough estimate of the percentage they can expect to receive.  How long the process takes depends on how complicated the liquidation is.  In this particular case there aren't lots of different assets to be sold but there are quite a few creditors. 

Very important to know is how we have to claim our funds with the liquidator now. Does anyone know? Merci.

I hope they changed the password 

Patrick Murck posted a couple of days ago that USD 100,000 and 20,000 BTC retrieved from "Chen" have been placed in Bitcoinica's MtGox account awaiting transfer to a receiver.  When a liquidator takes over from the receiver, they'll make a preliminary report to creditors which outlines the assets available for distribution to creditors and when the liquidation should be complete.  

https://bitcointalksearch.org/topic/m.1098303

What's the progress now and when will we get our money back?

He's a New  Zealand based venture capitalist who has set up a number of Bitcoin related companies.

http://www.business.govt.nz/companies/app/ui/pages/companies/3701996/directors

http://briancartmell.com/

http://about.me/briancartmell

You can find out more information about the lawsuit here.

https://docs.google.com/file/d/0B_ECG6JRZs-7dTZ5QS0xcUkxQjQ/edit#

So does anybody know more about this Cartmell guy and his case against Bitcoinica?  I wish he would have invited the rest of us in the suit...

Thank you, it's obvious. I invested 2.5% of my portfolio. It was a good chance to use the money, which can not legally be invested by Russian law. But even that - too much. At first it was not so obvious that this is a scam. With the advent of "funds" (and the approval of their main developer) - all shit floats to the surface. Now I have to withdraw money before it is too late. Feeling my mistake.

Agree with you. My personal opinion is that it's better to use more time to 'get it right' than to rush it. Users demand, yes, but there ain't users yelling at the back of developers to have services launched, this pressure the operator puts on themselves.

If you are actually interested in something that has been and still is taking its time to try to get it right, check out https://bitcointalksearch.org/topic/open-transactions-server-assetbondcommoditycryptocoindeedsharestock-exch-53329

-MarkM-

Users are constantly pushing services to rush to market, too.  People demanded a Bitcoinica and then when that failed they demanded a replacement - and look what happened.  The lead time on so many of these projects has been far too short, not to mention that they're grossly under-capitalised to boot.

Bitcoin is at this time a high risk investment, and so is any Bitcoin business.

Realizing this means that any investment anyone does could be lost. This everyone needs to keep in the back of their minds.

"If I lose the money currently invested, would I recover from this without severe problems?"

If the answer is no, then one should extract as much of one's investment till one feels comfortable with the investment you make.

Of course, with high risks comes also possible high profits, so it could go both ways.

Doing due dilligence never hurts either, and if there are warning signs, or your gut feeling says that an investment is too risky, then do not invest.

If you have 10K USD to invest in Bitcoin or Bitcoin related ventures, then spread the risk, and don't put it all in a single project. I understand
some people get emotional and discouraged when they lose a lot of money, and that's understandable, but don't advise others against investing in
bitcoin related ventures, let them make their own decisions.

As for new bitcoin services, it could be smart to wait a while to see if everything works fine, before putting any bitcoins in that project.

As a part of the dd, the operators of a service should also be able to respond detailed to any though questions you may have about their business,
and if they don't it might be raising warning signals.

So: "Don't risk more than you can afford to lose!"

Too many people are greedy and just see the promises for returns, and blindly invest and hope for the best.

Patrick (or whatever), you can answer simple questions - on what date appointed bankruptcy process? Which country will be the hearing? What is the probability of a refund? (not all, but how much is left) Was the interview with the judge? The judge has already been assigned ?(known?)

BDT also hacked, and I decided to sell my investment. I'm disappointed. This is a community of thieves. (no offense, but there's a lot of thieves). It simply can not get development. (public recognition) I will sell parts. It will be a long time, leaving only about 50k and does not invest more in any one company associated with Bitkoin. And discourage all my friends in their best interest. I'm sorry, but the year of participation disappointed me. More and more I think that it's intended for, that would steal money. I do not believe in hacking. This is how it was originally intended. Just my opinion.

P\S  Mavrodi, You do not waste time in prison.  Your doing? World pyramid ... Funny ..like that time  - after the collapse of the Russian beta test. Amerikans believe again. And you will destroy anyone who tries to use Bitkoin as a medium of exchange. (the money) is quite clear.