Unconfirmed tweet that MtGox lawyer making statement now.

[DutchBrat]

*MT. GOX CEO MARK KARPELES APOLOGIZES AFTER FIRM'S BANKRUPTCY

[jl2012]

*DJ Mt. Gox Lawyer: Outstanding Debt Y6.5B
*DJ Mt. Gox Lawyer: Filed For Bankruptcy Protection
*DJ Mt. Gox Lawyer: Accepted By Tokyo District Court

So around $ 60 mln outstanding debt

Only $60mln?  The BS out of gox continues.

I have no doubt the actual filings will be made public by the media soon.  If they've lost access to their cold wallets - as some have theorised - that could explain why the nominal debt is only $60 million.  The cold wallets would still technically count as an asset.

I'm pretty surprised to learn that's only $60 million. In this case many people can bail it out. Just not sure how they calculate the value of bitcoin. I guess $130/BTC?

I guess they haven't even considered lost bitcoins.

Best regards,
ilpirata79

for the sake of filing for bankruptcy protection they will have had to count coins in hand as an assett. I would guess at 130 USD / BTC as that was closing price.

This would make sense as to why they let out no info, closed withdrawals and let the price tank. It was in their interest. The lower the price of each coin on their balance sheet, the lower their debt would be when filing for protection.

But I think an action like this is illegal and the court will calculate with the "real" fair price when they are closed, which is about 500

[ilpirata79]

for the sake of filing for bankruptcy protection they will have had to count coins in hand as an assett. I would guess at 130 USD / BTC as that was closing price.

This would make sense as to why they let out no info, closed withdrawals and let the price tank. It was in their interest. The lower the price of each coin on their balance sheet, the lower their debt would be when filing for protection.

What do you mean? So you think that in the 64 millions of debt also lost bitcoins are counted? i would hope so, but...

Best regards,
ilpirata79

[studio1one]

*DJ Mt. Gox Lawyer: Outstanding Debt Y6.5B
*DJ Mt. Gox Lawyer: Filed For Bankruptcy Protection
*DJ Mt. Gox Lawyer: Accepted By Tokyo District Court

So around $ 60 mln outstanding debt

Only $60mln?  The BS out of gox continues.

I have no doubt the actual filings will be made public by the media soon.  If they've lost access to their cold wallets - as some have theorised - that could explain why the nominal debt is only $60 million.  The cold wallets would still technically count as an asset.

I'm pretty surprised to learn that's only $60 million. In this case many people can bail it out. Just not sure how they calculate the value of bitcoin. I guess $130/BTC?

I guess they haven't even considered lost bitcoins.

Best regards,
ilpirata79

for the sake of filing for bankruptcy protection they will have had to count coins in hand as an assett. I would guess at 130 USD / BTC as that was closing price.

This would make sense as to why they let out no info, closed withdrawals and let the price tank. It was in their interest. The lower the price of each coin on their balance sheet, the lower their debt would be when filing for protection.

But I think an action like this is illegal and the court will calculate with the "real" fair price when they are closed, which is about 500

Quite possibly, hard to guess really without seeing the filing documents. I am sure they will come out.

[repentance]

*DJ Mt. Gox Lawyer: Mt. Gox Assets Y3.84B
*DJ Mt. Gox Lawyer: Will Cooperate With Japanese Authorities Into Investigating What Happened

If true they have more than half of their liabilities at book. Worst case scenario would be creditors getting 50% back.

We'll see the veracity of claims in the near future.

That's not the worst case scenario at all.  We don't know if the filing even includes BTC.  We do know that fees involved in sorting out business bankruptcies tend to chew through enormous amounts of remaining assets and that unsecured creditors typically receive little or no return.

Without access to the information contained in the filings, all we know for sure is that legal actions in Japan will now be stayed (and legal actions initiated outside Japan will likely be rendered futile).

[studio1one]

*DJ Mt. Gox Lawyer: Mt. Gox Assets Y3.84B
*DJ Mt. Gox Lawyer: Will Cooperate With Japanese Authorities Into Investigating What Happened

If true they have more than half of their liabilities at book. Worst case scenario would be creditors getting 50% back.

We'll see the veracity of claims in the near future.

That's not the worst case scenario at all.  We don't know if the filing even includes BTC.  We do know that fees involved in sorting out business bankruptcies tend to chew through enormous amounts of remaining assets and that unsecured creditors typically receive little or no return.

Without access to the information contained in the filings, all we know for sure is that legal actions in Japan will now be stayed (and legal actions initiated outside Japan will likely be rendered futile).

You are right, it was a massive simplification on my part.

I would be amazed if the asset and debt didn't include BTC. The court would throw it out in a second.

[repentance]

You are right, it was a massive simplification on my part.

I would be amazed if the asset and debt didn't include BTC. The court would throw it out in a second.

Although it's logical to assume that, we honestly won't know until the filings are made public exactly what's going on, what's included and what's not, and exactly what MtGox has sought.

I want to see those filings just as much as everyone else, although I suspect that no matter what they indicate people are still going to be unhappy with the information and believe that the process "should" be handled differently.  It's a novel case, so even the lawyers who filed on behalf of MtGox are still only guessing about how BTC liabilities will be addressed during the process.

[jl2012]

As claimed in the Crisis plan, they have:

Assets: 32,430,000 USD + 2,000 BTC
Liabilities: 55,000,000 USD + 744,408 BTC

Now they say they have assets of 3.84B JPY = 37.71M USD and liabilities of 6.5B JPY = 63.84M USD

So solving the equations:

32430000 + 2000 A = 37710000

A = 2640 (USD/BTC)


55000000 + 744408 B = 63840000

B = 11.87 (USD/BTC)

So there must be something wrong with the crisis plan figures

[hostmaster]

 

Kolin Burges
‏@The_K_meister
#MtGox's lawyer making an announcement to the press at 6pm.. i.e. NOW! I am heading there.

https://twitter.com/The_K_meister/status/439325163700502529
 

Good news. It's always better to stayin touch.

[studio1one]

You are right, it was a massive simplification on my part.

I would be amazed if the asset and debt didn't include BTC. The court would throw it out in a second.

Although it's logical to assume that, we honestly won't know until the filings are made public exactly what's going on, what's included and what's not, and exactly what MtGox has sought.

I want to see those filings just as much as everyone else, although I suspect that no matter what they indicate people are still going to be unhappy with the information and believe that the process "should" be handled differently.  It's a novel case, so even the lawyers who filed on behalf of MtGox are still only guessing about how BTC liabilities will be addressed during the process.

Agree entirely.

[bananas]

they still have the coin  

you cannot file for Bankruptcy when your guilty of Fraud

That's correct. Even if it is true that he was stolen, he still frauded his customers by pretending to have their funds and creating a ponzi.

[studio1one]

As claimed in the Crisis plan, they have:

Assets: 32,430,000 USD + 2,000 BTC
Liabilities: 55,000,000 USD + 744,408 BTC

Now they say they have assets of 3.84B JPY = 37.71M USD and liabilities of 6.5B JPY = 63.84M USD

So solving the equations:

32430000 + 2000 A = 37710000

A = 2640 (USD/BTC)


55000000 + 744408 B = 63840000

B = 11.87 (USD/BTC)

So there must be something wrong with the crisis plan figures

I am far from convinced that crisis plan was anything other than a made up crock of shit.

I mean it was claimed to be an internal document but stated in it that "to stop Gox going under (although god knows they deserve to)"

and

on one page the mountain logo of Gox had a goat sat on top of it.

Not convinced by it at all.

[5flags]

Not convinced by it at all.

No, something isn't right.

I've not gone through all the details carefully, was the 744,000BTC ever corroborated? That's a LOT of BTC. This would only be possible if they had lost coins they claimed were in cold storage. If so, how were they lost? Were they really in cold storage?

[bananas]

Anyone believe he was stole? It was too much over a long period, impossible i think. I believe he was just using everyone's funds for his own profit and did shit. Or maybe he just sold at profit, hide it in Switzerland and then created the ponzi.

[nitehawk]

steal 350 mil in bitcoin .. file for protection so you dont get sued pay down 60mil in debt sell to some other sucker and walk off with 290 mil ....

[jl2012]

As claimed in the Crisis plan, they have:

Assets: 32,430,000 USD + 2,000 BTC
Liabilities: 55,000,000 USD + 744,408 BTC

Now they say they have assets of 3.84B JPY = 37.71M USD and liabilities of 6.5B JPY = 63.84M USD

So solving the equations:

32430000 + 2000 A = 37710000

A = 2640 (USD/BTC)


55000000 + 744408 B = 63840000

B = 11.87 (USD/BTC)

So there must be something wrong with the crisis plan figures

I am far from convinced that crisis plan was anything other than a made up crock of shit.

I mean it was claimed to be an internal document but stated in it that "to stop Gox going under (although god knows they deserve to)"

and

on one page the mountain logo of Gox had a goat sat on top of it.

Not convinced by it at all.

But the lawyer really claims that they have lost 750000 customer's coins. Even at $100 each that would be $74M. But now they say their outstanding debt is only $63.84M, including fiat. Just don't add up.

Maybe the outstanding debt has already deducted the assets? That would make the total liability as $101,550,000 and $135.4/BTC, exactly the closing price. (However, this assume they have no fiat liability.....)

[5flags]

But the lawyer really claims that they have lost 750000 customer's coins. Even at $100 each that would be $74M. But now they say their outstanding debt is only $63.84M, including fiat. Just don't add up.

Maybe the outstanding debt has already deducted the assets? That would make the total liability as $101,550,000 and $135.4/BTC, exactly the closing price. (However, this assume they have no fiat liability.....)

Don't forget Dwolla and US account seizures.

[lorix]

Seppuku is an old Japanese tradition isn't it?

[repentance]

As claimed in the Crisis plan, they have:

Assets: 32,430,000 USD + 2,000 BTC
Liabilities: 55,000,000 USD + 744,408 BTC

Now they say they have assets of 3.84B JPY = 37.71M USD and liabilities of 6.5B JPY = 63.84M USD

So solving the equations:

32430000 + 2000 A = 37710000

A = 2640 (USD/BTC)


55000000 + 744408 B = 63840000

B = 11.87 (USD/BTC)

So there must be something wrong with the crisis plan figures

I am far from convinced that crisis plan was anything other than a made up crock of shit.

I mean it was claimed to be an internal document but stated in it that "to stop Gox going under (although god knows they deserve to)"

and

on one page the mountain logo of Gox had a goat sat on top of it.

Not convinced by it at all.

But the lawyer really claims that they have lost 750000 customer's coins. Even at $100 each that would be $74M. But now they say their outstanding debt is only $63.84M, including fiat. Just don't add up.

Maybe the outstanding debt has already deducted the assets? That would make the total liability as $101,550,000 and $135.4/BTC, exactly the closing price. (However, this assume they have no fiat liability.....)

The figure of $63 million seems to refer only to their liquid liabilities.

http://www.cnbc.com/id/101455170

[Vitamin]

It's possible that of the 744k BTC lost, MtGox has enough coins in cold storage to cover all but the $64 million he's filing for.

That being said I still hope his ass winds up in jail over criminal negligence or something.  Losing tens of millions of dollars of other people's money because you don't know how to read a fucking ledger should be a crime.