Bitcoin Forum
August 21, 2019, 06:09:57 AM *
News: Latest Bitcoin Core release: 0.18.0 [Torrent] (New!)
 
   Home   Help Search Login Register More  
Pages: [1]
  Print  
Author Topic: [2017-04-09]Bitcoin Exchange Bitfinex Sues Wells Fargo Over Embargoed Wire Trans  (Read 213 times)
didiksky
Sr. Member
****
Offline Offline

Activity: 280
Merit: 250



View Profile
April 09, 2017, 11:21:44 AM
 #1

Bitcoin Exchange Bitfinex Sues Wells Fargo Over Embargoed Wire Transfers
A lawsuit filed Wednesday in Northern District of California federal court, San Francisco division could turn out to hold meaning for the entire Bitcoin world. Bitfinex, the exchange which took heavy losses in face and treasure when it was hacked in 2015, is taking Wells Fargo to court for having reversed US dollar cash deposits designated for their customer accounts coming from Bitfinex.

The legality of shutting down bank accounts merely for being related to the use of Bitcoin or cryptocurrency trading has long been questionable, but the outcome of this lawsuit could bring some clarity to the situation. The three companies which make up the Bitfinex in a legal sense as well as UK-based Tether Limited and iFinex, another financial firm affected by Wells Fargo’s policies, are the plaintiffs in the suit.

The opening salvo makes it clear enough for the court what’s at issue:
Advertisement:


Twitter
Linkedin
Facebook
Reddit
Weibo
A lawsuit filed Wednesday in Northern District of California federal court, San Francisco division could turn out to hold meaning for the entire Bitcoin world. Bitfinex, the exchange which took heavy losses in face and treasure when it was hacked in 2015, is taking Wells Fargo to court for having reversed US dollar cash deposits designated for their customer accounts coming from Bitfinex.

The legality of shutting down bank accounts merely for being related to the use of Bitcoin or cryptocurrency trading has long been questionable, but the outcome of this lawsuit could bring some clarity to the situation. The three companies which make up the Bitfinex in a legal sense as well as UK-based Tether Limited and iFinex, another financial firm affected by Wells Fargo’s policies, are the plaintiffs in the suit.

The opening salvo makes it clear enough for the court what’s at issue:


// Read exclusive stories, bitcoin analysis, and tutorials. Use the coupon code "CCN5" and get $5 off. Join Hacked.com now. //

Wells Fargo has suspended U. S. dollar wire transfer operations needed to remit to plaintffs’ customers U. S. dollars that the customers deposited with plaintiffs to purchase digital currency, causing imminent and irreparable harm to plaintiffs.

The suit also capitalizes on Bitfinex’s long-standing commitment to complying with all laws in countries it operates in, including know-your-customer laws meant to curb money-laundering and terrorist financing.

Plaintiffs have worked cooperatively with U. S. law enforcement agencies, such as the Department of Justice, Federal Bureau of Investigation, the Internal Revenue Service, the Department of Homeland Security, the Secret Service; with independent federal regulators such as the Commodity Futures Trading Commission; and with state regulatory agencies and others, to uphold the highest standards of integrity and compliance with regulatory law.

The legal basis for the lawsuit lies in the fact that Bitfinex and the others work with Taiwanese banks, including a bank called Taishin, who were responsible for relaying the transfers to US customers using Wells Fargo, among others. Until last month, this system worked fine, but then Wells Fargo sent a letter to the Taiwanese bank informing them that they would no longer accepting the deposits from these accounts until “further due diligence” was obtained. The problem with the demand for more information was not followed up with any specifics, and so:

Plaintiffs have received no inquiry or request for information. If any request had been made, plaintiffs would have fully cooperated and responded to same. Plaintiffs have a long history of responding timely to requests for information from the Taiwan-Based Banks and, inderectly, from any correspondent banks.

The next paragraph notes that Wells Fargo has not prevented customers from sending funds to Bitfinex, but only from reaping the proceeds of their investing activity.

Bitfinex is looking for the maximum possible financial judgement, having suffered heavily in customer relations at the hands of Wells Fargo, as well as a court order for Wells Fargo to cease interfering with US Bitfinex withdrawal transactions.

In two short days, the lawsuit has already generated over 25 separate documents. This is a popular tactic of big corporations who are under fire for their decisions, but unluckily for Wells Fargo, Bitfinex and company appear ready to fight.
https://www.cryptocoinsnews.com/bitfinex-and-others-sue-wells-fargo-over-embargoed-wire-transfers/
1566367797
Hero Member
*
Offline Offline

Posts: 1566367797

View Profile Personal Message (Offline)

Ignore
1566367797
Reply with quote  #2

1566367797
Report to moderator
1566367797
Hero Member
*
Offline Offline

Posts: 1566367797

View Profile Personal Message (Offline)

Ignore
1566367797
Reply with quote  #2

1566367797
Report to moderator
1566367797
Hero Member
*
Offline Offline

Posts: 1566367797

View Profile Personal Message (Offline)

Ignore
1566367797
Reply with quote  #2

1566367797
Report to moderator
Advertised sites are not endorsed by the Bitcoin Forum. They may be unsafe, untrustworthy, or illegal in your jurisdiction. Advertise here.
digaran
Hero Member
*****
Offline Offline

Activity: 910
Merit: 613

111113DUwES2ZNWSJztA3oBuhzfcdmiaG


View Profile
April 09, 2017, 12:20:24 PM
 #2

Wtf? did you just copy pasted the entire page here repeating things over and over?
Anyways.

The same thing as blocking and freezing bank accounts, having control over people's money, bullying everyone just because they can since they control the global markets, banks I believe was the reason that Satoshi may God bless him created and released bitcoin in the first place.
If they didn't have their stupid laws backing them up they wouldn't have done this already, now I don't get it, how'd they going to win in a court which operates under the same laws and regulation system that caused their customers funds to be reversed?
More reasons why we need to use bitcoin without the need for fiat sooner the better.

HOWEYCOINS   ▮      Excitement and         ⭐  ● TWITTER  ● FACEBOOK   ⭐      
  ▮    guaranteed returns                 ●TELEGRAM                         
  ▮  of the travel industry
    ⭐  ●Ann Thread ●Instagram   ⭐ 
✅    U.S.Sec    ➡️
✅  approved!  ➡️
Pages: [1]
  Print  
 
Jump to:  

Sponsored by , a Bitcoin-accepting VPN.
Powered by MySQL Powered by PHP Powered by SMF 1.1.19 | SMF © 2006-2009, Simple Machines Valid XHTML 1.0! Valid CSS!