Kevin Helms
A student of Austrian economics, Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open source systems, network effects and the intersection of economics and cryptography.
Crypto.com Accidentally Sent $7M to Customer – Sues 7 Months Later to Get It Back – Featured Bitcoin News
Cryptocurrency exchange Crypto.com accidentally transferred around $7.26 million to a customer’s account, but didn’t notice the mistake for seven months. Now the crypto company has sued the customer to get the funds back.
Crypto.com Sues Customer 7 Months After Wrongfully Transferring Over $7 Million
The Australian Supreme Court in Victoria on Friday issued a default judgment in a case where crypto exchange Crypto.com accidentally transferred more than AUD$10.47 million ($7.26 million) to a customer’s account on May 20, 2021.
The crypto firm brought claims against eight defendants, including Thevamanogari Manivel, the Crypto.com customer whose account received AUD$10.47 million in error. The court document shows that in May last year:
Instead of refunding the $100 [Australian dollars] as intended, $10,474,143 was mistakenly transferred … to Manivel after an account number was accidentally entered in the payment amount field.
“Extraordinarily, the plaintiffs allegedly did not realize this significant error until some 7 months later, in late December 2021,” the court document adds.
Crypto.com noticed the error when an audit was performed in December 2001 and subsequently filed a lawsuit against the customer and related parties to recover the transferred funds.
The judgment shows that Manviel paid AUD$10,100,000 into an account with another defendant in May 2021 after receiving AUD$10.47 million from Crypto.com. On January 31, she transferred AUD$430K from the joint account to her daughter Raveena Vijian.
Manviel allegedly used the money mistakenly sent to her to buy a $1.35 million house in Melbourne and transferred ownership to Thilagavathy Gangadory, another defendant. Gangadory, Manivel’s sister who resides in Malaysia, became the registered owner of the property on February 21 this year.
Crypto.com tried unsuccessfully to freeze Gangadory’s bank accounts in March. Friday’s default judgment ordered Gangadory to pay the crypto firm $1.35 million, sell the property and pay interest calculated from March 1 to the date of the judgment.
Do you think the customer should return the funds received in error from Crypto.com? Let us know in the comments section below.
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