Couple sent $10.5 million by Crypto.com claiming they thought they won a prize
The Melbourne couple who mistakenly sent almost $6.6 million, or A$10.5 million, to Crypto.com in 2021 are arguing in court that they believed the funds were won via a contest.
Thevamanogari Manivel and her husband, Jatinder Singh, are currently facing trial in the Supreme Court of Victoria on theft charges, including after the duo allegedly embezzled Crypto.com’s funds last year.
Appearing via video link in Melbourne magistrates court on 11 October, Manivel and Singh pleaded not guilty to their respective charges, with the defense arguing that Singh had believed he had won a competition from Crypto.com and had told his wife as such.
The funds were originally sent to Manivel’s bank account in May 2021, with Crypto.com compliance officer Michi Chan Fores telling the court that the problem arose from an employee based in Bulgaria entering incorrect details into an Excel spreadsheet.
The Crypto.com account itself belonged to Singh, but the money went to his wife’s bank account, as he had used her bank cards to buy crypto. The firm did not realize the mistake until an audit took place in December.
Singh claims that he thought he had won the money when he had previously received a message from the company about a competition. However, Fores denied the existence of such a contest and outlined that Crypto.com did not send any notifications to tell users about contest wins.
Their charges are slightly different, as Manivel is charged with theft for withdrawing the funds from her Commonwealth Bank account, negligently handling the proceeds of crime and attempting to flee the country.
In March, Manivel was arrested at Melbourne airport after it was alleged she tried to fly home to Malaysia with approximately AUD 11,000.
She was granted bail on strict conditions at the last hearing, had to surrender her passport and was barred from attending any departure points.
Manivel’s lawyer claims that she was not aware that charges were being brought against her when she attempted to fly to Malaysia.
Singh primarily faces theft charges for withdrawing Crypto.com’s funds from the bank. Going forward, Manivel and Singh are set for a guidance hearing in the county court on 8 November.
Spending spree
A police officer told the court the funds were allegedly used to buy four houses, vehicles, gifts for relatives, art and some furniture, while AUD 4 million was also sent to a bank account in Malaysia.
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One of their four houses included a five-bedroom AUD 1.35 million property in Craigieburn, which the Victoria Supreme Court immediately ordered sold and the money returned to Crypto.com.
As it stands, about $7 million has been paid back, with $3 million still to be accounted for. Civil action is reportedly underway to freeze assets and recover the remaining funds.
