Mt. Gox files for liquidation

[Nagle]

"Defunct bitcoin exchange Mt. Gox files for liquidation: WSJ"

"(Reuters) - Defunct bitcoin exchange Mt. Gox has given up plans to rebuild under bankruptcy protection and has asked a Tokyo court to allow it to be liquidated, the Wall Street Journal reported, citing people familiar with the situation. These people cited the complexity of the procedure and the lack of realistic rehabilitation plans for the Tokyo-based exchange as reasons for the move, the newspaper said."

The immediate effect is 1) Karpeles is fired, 2) a trustee takes over, and 3) the trustee handles the liquidation and asset recovery.

[counter]

Thanks for passing this news on to the rest of us I think many people will be very interested in this.   

[medUSA]

Heard a while back some syndicate wish to buy gox for 1 btc, obviously did not workout...
Doesn't come as a surprise, could take years to revive a company $300 million in debt

[mezzomix]

As we all know Mark did not loose our 650k BTC because of transaction malleability. Is there any other explanation for the loss or do I have to assume that Mark still controls those 650k BTC?! The officials seem to have little interest in investigating this case.

I cannot allow Mark to run with this money. I already reserved 100 BTC to pay for a final solution.

[thresher]

As we all know Mark did not loose our 650k BTC because of transaction malleability. Is there any other explanation for the loss or do I have to assume that Mark still controls those 650k BTC?! The officials seem to have little interest in investigating this case.

I cannot allow Mark to run with this money. I already reserved 100 BTC to pay for a final solution.

Hero member indeed 

[hashme]

As we all know Mark did not loose our 650k BTC because of transaction malleability. Is there any other explanation for the loss or do I have to assume that Mark still controls those 650k BTC?! The officials seem to have little interest in investigating this case.

I cannot allow Mark to run with this money. I already reserved 100 BTC to pay for a final solution.

My applauses to you!

[Massimo80]

The immediate effect is 1) Karpeles is fired, 2) a trustee takes over, and 3) the trustee handles the liquidation and asset recovery.

At least is now clear nobody in Court believed his claims about being able to put the company back in business, he's no longer in charge, and someone hopefully more competent than him (which apparently shouldn't be difficult at all) will take care of paying creditors. These are definitely good news.

Let's just hope there actually is something to pay creditors with...

[Skirmant]

I cannot allow Mark to run with this money. I already reserved 100 BTC to pay for a final solution.

Define what you mean by 'final solution'

[Nagle]

Does anyone know whether you would typically engage a lawyer to help with claims of this kind?

If you have significant funds stuck in Mt. Gox, a lawyer in Japan could be helpful. Then you get to communicate with the Tokyo District Court, the bankruptcy trustee, and the cops. If you want to push on claims against Karpeles personally and push for tougher examination into where the money went, you need a lawyer.

Soon there will be a bankruptcy trustee, who may or may not be the same person as the current court-appointed supervisor. It remains to be seen how aggressive they will be in pursuing the creditors' claims.

[Jcw188]

I cannot allow Mark to run with this money. I already reserved 100 BTC to pay for a final solution.

Define what you mean by 'final solution'

Reminds me of Hitlers's final solution, i.e., nothing good man.

Wow.  Well I guess anyone who lost anything better get in touch with a lawyer.  Amazing what it came to.  Can't believe they had the exchange up for so long when I assume they knew they were going under.

[Massimo80]

BTW, it looks like it wasn't Mt.Gox going for liquidation, but the Court rejecting their initial requests and instead ordering it.

Either the press got it wrong (unsurprisingly), or there is something else going on...

https://bitcointalk.org/index.php?topic=573655.0

[counter]

BTW, it looks like it wasn't Mt.Gox going for liquidation, but the Court rejecting their initial requests and instead ordering it.

Either the press got it wrong (unsurprisingly), or there is something else going on...

https://bitcointalk.org/index.php?topic=573655.0

That is an interesting update to the topic.  I would be interested to know why such a decision would be made to let Gox of the hook.  Seems rather fishy to me.

[Massimo80]

That is an interesting update to the topic.  I would be interested to know why such a decision would be made to let Gox of the hook.  Seems rather fishy to me.

It doesn't let Gox off the hook, but it indeed frees MK from any role in it; including having to go to Texas to advocate for his bankruptcy protection filing in the USA. Now he's no longer CEO, so he has no reason to go there; it's somebody else's business to represent the company in other countries. MK only has to be concerned if the Japanese Court finds that he did something illicit while he was CEO.

[dave111223]

Q.
What is an order for provisional administration?
A.
It is an order issued by the court under which the provisional administrator, who is appointed by the court, provisionally administers the Company’s assets until the order for the commencement of bankruptcy proceedings is made. Mr. Kobayashi, who served as the supervisor and examiner under the civil rehabilitation proceedings, has been appointed as the provisional administrator.

Is this some kind of joke?

[janos666]

Q.
What is an order for provisional administration?
A.
It is an order issued by the court under which the provisional administrator, who is appointed by the court, provisionally administers the Company’s assets until the order for the commencement of bankruptcy proceedings is made. Mr. Kobayashi, who served as the supervisor and examiner under the civil rehabilitation proceedings, has been appointed as the provisional administrator.

Is this some kind of joke?

Yeah. When I read that I freaked out a bit.
http://en.wikipedia.org/wiki/Kobayashi_Maru -> "The test's name is occasionally used among Star Trek fans or those familiar with the series to describe a no-win scenario, [...]"
And we know Karpeles was a so called "geek" who likes these sort of things.