Bitcoin Forum

Hi,

I am wondering what kind of business structure (sole proprietorship, LLC, INC. etc) Bitfloor is. I am curious about what legal recourse is available in the event that Bitfloor continues to unlawfully hold client's funds. They claim they are "working" on "finding a way" to return funds (put a check in the mail or pay me in bitcoins dammit).

I don't like lawsuits, but this is getting outrageous, and I am wondering 1) if a class action lawsuit against Bitfloor would be possible, and 2) if Roman himself could be sued. (If that were the case I'd be happy to settle for the amount of my money Bitfloor has seemingly stolen.).

Are there any other Bitfloor customers starting to suspect that Bitfloor is a fraud and will not return the money they owe?

http://appext20.dos.ny.gov/corp_public/CORPSEARCH.ENTITY_INFORMATION?p_nameid=4138212&p_corpid=4137198&p_entity_name=Bitfloor&p_name_type=A&p_search_type=BEGINS&p_srch_results_page=0

You have USD owed to you? If we could come to an agreement with an enforcable contract, I would buy your debt at 75 cents on the dollar and cash you out in either USD or coins. PM me if you have at least a few   thousand $ in debt and want to talk further.

They dont have your money, i thought they made that clear. It suddenly "disappeared" when their bank said they didnt like them. Though im not sure how those two things connect.....

Your legal recourse, practically speaking, will likely depend upon how much money is at stake.  I'm happy to point you in the right direction here, or you can PM me if you'd prefer to be more private.

I don't know what to think.

 I new the guy claimed that his site had been hacked into before, so I was hesitant to send funds to his site. Nobody was having a problem lately on the site so I sent up a thousand $ to quickly buy some bit coin. I wanted to try something else besides rip off Block Chain Wallet. I could tell the guy was flaky but I intended to make a quick trade and move the bitcoins off the site right away. 

On the Bitfloor site it says. 18 days ago.


2013.05.13

We have received the check and are working on a way to start returning funds. We do not yet have an ETA, but understand everyone is anxious to get their money back and we are trying to make that happen as quickly as possible.

So they claim they are waiting for an ETA.

I kind of think it is the Banks trying to create mass hysteria towards the Bitcoins so I'm giving him the benefit of the doubt.

If worse comes to worse. I would think I could have him put in prison as I wired him money across state lines. He or the bank is holding my funds up. Their is no hacking excuse. If I don't get my money back I would rather have him spend years in prison rather than trying to get my money back through some silly lawsuit. Have the Government prosecute him. He'll probably claim he can't pay it back anyway if any lawsuit is won. 


     

If it truly is fraud I'd agree. Otherwise I'd prefer to get the money and not force prison on him. Some (a lot) of the fault does belong with Capitol One.

We don't know why Capital One closed the account. Likely Bitfloor wasn't aware of all the laws and regulations. The Bank was afraid of getting into serious trouble. Could be a legitimate reason.

Or the Bank might be maliciously  trying to damage Bitcoins reputation. Alex Jones says they will shut down Bitcoin by blocking the exchanges. 

 

The bank could have just shut them down for being "High Risk," that's why they close down alot of other bitcoin related businesses accounts.

I have BTC in there that it won't let me withdraw....
The transaction withdrawal says "Pending" now for over a month.

good luck getting anything from these guys.. smh

Should have withdrawn it ages ago...

This guy is keeping the fire under Roman. Sounds like something may be done soon. Doesn't look like Roman and Co are going to get away with anything to me.

http://www.reddit.com/r/Bitcoin/comments/1dqz4v/i_have_pmed_15_other_redditors_with_bitfloor/


http://audenx.tumblr.com/post/53234614015/17-june-2013-bitfloor-update   

That's always the question in fraud-like circumstances.  Was it plain-jane breach of contract or was it fraud?  Whenever there's a contract involved (as there seems to be some species of contract here) courts won't permit a claim for fraud unless there are circumstances outside the contract that give rise to an inference of fraud.

I'm hoping he can re-use the KYC stuff he's already done before Bitfloor got shut down.  I had just got my Bitfloor account set up for ACH to my bank and had started a transfer when Capitol One pulled the plug.  My account on Bitfloor still says pending for that $105 ACH withdrawal.  :(

And I was one of those that never received any advance warning.  If there was something on the web page, I either didn't notice it because it wasn't very prominent or never had any prompt at all.

Bitfloor is an LLC, meaning Roman is not liable for anything that happens to the business, unless it's actual fraud. Since his problem is that the bank closed his account, not him, and other banks are refusing to take his check and disburse the money to owners, unless you can prove that he is negligent in trying to return the money (ignoring the problem and not doing anything), you probably won't get anywhere with the lawsuit, especially since there's apparently some lawyer actively working on this problem for him. On the other hand, maybe suing his LLC  would force some estate liquidation company to accept the check and liquidate the company assets to owners that way. I guess that's the last resort, if his lawyer can't find a bank.

It looks like Bitfloor is ready to wire the money back!  ;D

http://audenx.tumblr.com/post/54770637002/great-news-6-july-2013-bitfloor-update

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Just checked today on my Bitfloor account. Should be getting the funds soon. We will see. I thought that money was as good as gone.

USD Refunds

Your refund information is under review. Once reviewed, your refund will be sent to you electronically

Yup, they have partnered up with IAFCU to return people's money. It's going to be interesting watching IAFCU get affiliated with bitcoin companies.

As of 7-22-13. Still haven't received my cash from Bitfloor.   :'(

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I'm beginning to wonder? Haven't heard of anyone getting their money back yet.

Lots of people have. Check this thread https://bitcointalk.org/index.php?topic=179135.0

Just nobody with less than $3000 owed, like me.  :(

I just checked and my bank shows a refund of $1000.42 :o

The money may already be in your bank. Shows no change on Bitfloor.

I got around ~$300 back today. Balance on the site was changed to $0.00 and it said still under review.

be patient.

Actually did get mine on Tuesday.  Mentioned in the other thread, forgot about this one.  ;)