Letitia James, Attorney General for New York, has successfully put a final nail in the coffin as the US Court granted her the relief she sought against crypto pyramid “Coinseed” that embezzled millions of dollars. The Court order directs that Coinseed must be shut down permanently forthwith in the greater public interest. In the meanwhile, the court has appointed a receiver who will seize all assets belonging to Coinseed which shall be sold later to refund the money back to exchange’s defrauded customers.
A declaratory suit was filed before a Court in New York through the Office of New York’s Attorney General. It was a case involving allegations of fraud and perjury against a crypto trading platform called “Coinseed”. Letitia James, who is the Attorney General for New York, self-argued the crypto fraud case before the Court.
Letitia James told the Court that Coinseed was a crypto pyramid scheme, the purpose of which was aimed towards looting investor’s money. She apprised the Court that the fraud scheme was founded by one Delgerdalai Davaasambuu, who was also Coinseed’s CEO. She claimed that the scheme committed a mega fraud by looting and plundering millions of dollars that were taken from the customers. The very foundation of the business was laid down on the basis of blatant lies and deceit, she argued. She prayed before the Court that in the greater public interest the firm should be shut down immediately. In addition, the scheme’s CEO should undergo rigorous trial and exemplary punishment rewarded.
After carefully listening NY Attorney General’s argument, the Court announced that first of all the scheme must be shut down forthwith. The Court observed that Coinseed and its CEO were engaged in crypto fraud activities and duped investors’ money. In addition, the Court nominated a person to be appointed as the “Court Receiver”. The receiver has been directed under the same order that the Receiver should forthwith seize all movable and immovable assets belonging to Coinseed. As per standard practice of the Court, at the end of the case, the seized assets will be sold and the sale proceeds will be distributed amongst Coinseed’s creditors/investors.
Later on, Latitia James made an official statement and apprised that she has obtained an order against Coinseed. She also confirmed that a receiver has been appointed upon Coinseed’s assets on permanent basis. After selling the assets, the Court will return the money to the victims, she claimed. She further informed that a decree amounting to US$ 3,061,511 has also been passed against the defendants by the Court.
Letitia James said that this is the victory of the justice where the perpetrators have been punished and victims have been compensated. She promised that she will continue to seek out crypto fraud cases in her jurisdiction for helping victims taking back their money.