MTGOX Withdrawal issue

[WiseOldOwl]

Its like gox got hacked by some info stealers lol.
There answer to every problem is -
"Send us your full identity, and a bunch of supporting documents"


Also, i see natalie, adam, etc. from gox but they aren't stating exactly what the hell happened??

Adam gave a relatively lengthy explanation on reddit which addressed how their AML verification process came to fuck up so badly.  My personal viewpoint is that they knew they'd have to verify a large volume of accounts and they should have hired dedicated staff for that purpose rather than letting those 1000+ emails sit in Mark's inbox until someone got around to dealing with them, but not acting until something reaches crisis point is typical of how MtGox has reacted in the past.  They seem utterly unable to foresee potential problems and incapable of acting quickly to resolve them when they occur - and that suggests that the resources at their disposal are frighteningly limited.

You forgot

- Australian user funds in Technocash currently frozen

WOW, technocash is frozen too??
This is ultra suspicious.

[1714023461]

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[payb.tc]

well, i just got multiple withdrawals landing in my bank account today.... thank you mt gox for not screwing me over.

but yeah i forgot about technocash too... i think i have one withdrawal ($1000) tied up with them as well.

[repentance]

WOW, technocash is frozen too??
This is ultra suspicious.

The Technocash accounts were frozen because money from stolen credit cards was laundered through the MtGox accounts.

It appears that a number of criminal elements were using Technocash as a means of laundering funds obtained through credit card and identity theft through various bitcoin exchanges and then converting any stolen funds into USD for withdrawal internationally.

It's absolutely standard procedure for Australian financial services providers to freeze accounts without notice under such circumstances - they can get into deep shit themselves if they don't - so I have little doubt that MtGox is telling the truth about why the accounts were frozen.  I'm not sure that MtGox entirely understood just how tough Australian AML and CTF laws really are though and the measures they needed to have in place to minimise the possibility of their accounts being frozen in the first place.

The Technocash freeze could pose an interesting problem.  Technocash's terms of service specifically state that if they are requested or required to assist law enforcement or other authorities in investigating suspicious activity on user accounts, they can charge the account-holder a "departmental assistance fee" equivalent to the hourly rate charged by liquidators and that they can deduct that fee from the balance of the user's account without notice.  Them doing so could mean that when the balance of the account is eventually released to MtGox, it may no longer be sufficient to cover the total user deposits the account contained when it was frozen and Gox may need to make up any difference out of their own reserves.

My observation is that MtGox has often rushed to adopt new payment options when things have gone wrong in the past and I suspect that they haven't always taken the time to clearly understand everything about the foreign environments in which they're operating and how local regulations might apply to their business.  I've seen them use the "we told them upfront about our business but they closed our accounts anyway" line more than once now (they used it regarding the French banks too), suggesting that they don't really understand that risk monitoring is an ongoing process for financial services providers and that those providers will take action in accordance with any changes of perceived risk even though that information is explicitly stated in the terms of service of financial service providers.

[MagicalTux]

My observation is that MtGox has often rushed to adopt new payment options when things have gone wrong in the past and I suspect that they haven't always taken the time to clearly understand everything about the foreign environments in which they're operating and how local regulations might apply to their business.  I've seen them use the "we told them upfront about our business but they closed our accounts anyway" line more than once now (they used it regarding the French banks too), suggesting that they don't really understand that risk monitoring is an ongoing process for financial services providers and that those providers will take action in accordance with any changes of perceived risk even though that information is explicitly stated in the terms of service of financial service providers.

Actually we had to implement tighter checks on accounts to reduce fraud in Australia. However due to past deposits continuing to be reverted by the remote banks, Technocash decided to block our account, probably resulting in more reversals.

On the other side, in France, our french bank suddenly started to think that bitcoin is a virtual currency, and because of this believes we are doing something illegal as we are not registered as a bank, and therefore can't handle virtual currencies. We have explained that bitcoin did not fall within the definition of "virtual currency" under french laws, but they closed our account anyway in an illegal way, no wonder we already won 3 times against them in court.

We do understand the risks involved when accepting payments for goods we send we cannot recall. We are not a financial service provider, but we are required to implement the same kind of protections because of the context (instant delivery of bitcoin and no way to call back).

[payb.tc]

i had to laugh at your post count mark, considering how much trouble i had trying to contact you on irc.

[cbeast]

i had to laugh at your post count mark, considering how much trouble i had trying to contact you on irc.

[image snipped]

Really? You are complaining about customer service based on how many times someone posts? Why don't you just do your business through Atlas or any other 17 year old HERO member on this forum?

[repentance]

i had to laugh at your post count mark, considering how much trouble i had trying to contact you on irc.

[image snipped]

Really? You are complaining about customer service based on how many times someone posts? Why don't you just do your business through Atlas or any other 17 year old HERO member on this forum?

I think he was referring to it being 404, which is the error number when the DNS of a website doesn't resolve and it can't be contacted not to how often Mark posts.

[cbeast]

i had to laugh at your post count mark, considering how much trouble i had trying to contact you on irc.

[image snipped]

Really? You are complaining about customer service based on how many times someone posts? Why don't you just do your business through Atlas or any other 17 year old HERO member on this forum?

I think he was referring to it being 404, which is the error number when the DNS of a website doesn't resolve and it can't be contacted not to how often Mark posts.

Thanks for pointing that out. It is good to see humor in this thread.

[cryptoxchange]

I'm not sure that I'd trust any of the exchanges to cease operating and return all user funds/BTC if their businesses are not longer viable due to falling revenues.  I doubt that any of them have the kind of significant reserves which would allow them to "tough it out" for an extended period - they're all fairly new and the period when high volume and high price was giving them good revenue was fairly short.

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[Mt.Gox_Natalie]

1.  Our Dwolla account has been refilled and this issue appears to be resolved.  All withdrawals are now going through.  If you believe that you have any withdrawals that have not been processed, please contact us at the Mt.Gox Support Desk (https://support.mtgox.com/home) we will look into your transfer for you.

2.  Regarding the Technocash issue, if you have pending withdrawals to Technocash, please contact us at the Mt.Gox Support Desk.  You may request to have your withdrawal cancelled and your funds returned to your Mt.Gox account.  Then, you can withdraw through other methods such as international wire transfer.  As for deposits, our Australian customers may send funds to our HSBC account in Hong Kong while we are working to add other more convenient funding options. 

3.  The applications and documents for accounts that are pending reviewed are being processed daily at the moment.  Those that were sent to the aml@mtgox.com are also being reviewed.  Many of the accounts have been approved already.  As for the withdrawal limit increase requests, this will be another step of verification and these requests will be handled once our new interface is available. 

[Mt.Gox_Natalie]

again i got some incoming cash from mtgox today... but one thing that is quite annoying are the reference numbers...

it would be nice if the ref number that i see in my bank statement matched the ref number given by my mtgox 'you have just withdrawn' email, but they're completely different so i have no idea really which withdrawals match which incoming payment since they're all for the same amount.

ref as shown on my bank statement...
REF 1110130xxxxx

ref as shown in the email from mtgox...
Transaction reference: 169edc49-5495-xxxx-xxxx-xxxxxxxxxxxx


completely useless

edit: i just realised that first ref is generated by my bank so it has nothing to do with mtgox... but still compared to tradehill which actually shows me '15923' next to the withdrawal when i view my dashboard in tradehill.com and actually shows me that exact number 15923 on my bank statement.

Thank you for your comment.  We appreciate all feedback from our users and we will pass it to our management group for consideration. 

[WiseOldOwl]

Still nothing to dwolla.
Why put in a support request,
the withdraw request is the exact same request.

[MagicalTux]

it would be nice if the ref number that i see in my bank statement matched the ref number given by my mtgox 'you have just withdrawn' email, but they're completely different so i have no idea really which withdrawals match which incoming payment since they're all for the same amount.

We do pass the ID in the SEPA transaction. If your bank is not showing it, there's not much we can do. It is however useful if you want to contact us to inquire on the transfer status.

Still nothing to dwolla.
Why put in a support request,
the withdraw request is the exact same request.

Make sure to include your transfer reference so we can look it up.

[Mt.Gox_Natalie]

Still nothing to dwolla.
Why put in a support request,
the withdraw request is the exact same request.

In the support request, a Mt.Gox agent may make inquiries about your transaction to be able to locate your transfer in question and check the status.  Please submit a support ticket so that we could investigate this for you and resolve your issue as soon as possible.   

[WiseOldOwl]

Still nothing to dwolla.
Why put in a support request,
the withdraw request is the exact same request.

Got it, w/out the support ticket GJ Gox thks for at least coming through!

[Maria]

Still nothing to dwolla.
Why put in a support request,
the withdraw request is the exact same request.

Got it, w/out the support ticket GJ Gox thks for at least coming through!

Yeah I have been in that situation with Gox where I am about to send Japanese ninjas after his ass and right after I get off the phone ...20K Liberty Reserve Payment Received. Thank You Gox!!!

Maria.

[shakaru]

My Paxum withdraw is taking forever too. Was supposed to only take hours.
I give you guys until 1pm pst or I take my coins to TradeHill.

[Isepick]

My Paxum withdraw is taking forever too. Was supposed to only take hours.
I give you guys until 1pm pst or I take my coins to TradeHill.

Don't hold your breath. I've been waiting 6 days for a measly $200 Paxum withdrawal.

[Mt.Gox_Natalie]

As for Paxum withdrawals, we are working on adding more funds to our Paxum account.  The updates on the situation will be posted in the link below.  Our apologies for the delay and inconvenience caused. 

https://support.mtgox.com/entries/20526757-outage-12547-paxum-withdrawal-delays

[dollartrader]

I don't mind the security, but why wasn't I warned when I deposited monies?

I deposited, traded and attempted my withdrawal all in a matter of minutes so not an issue of a time lapse. Only when I tried to withdraw was I told my account was "under review"... and we're only talking about enough for a nice dinner out... not big $$$.

Guess I am awaiting for my support request "in the pile"...