In line with a recent news ‘published‘ by a native newspaper ‘The Sydney Morning Herald’, Australia federal court has imposed a travel ban and froze the funds of John Bigatton, a promoter of $2.6 Bln Ponzi scheme named Bitconnect.
Bigatton is presently listed as a director and investor of BitConnect International Plc and is a sole representative of Bitconnect Australia. Bigatton’s wife, Madeline Bigatton, is reportedly the only director and investor of JB’s Investment Management, a corporate whose assets have also been frozen that’s believed to be linked to Mr. Bigatton.
In line with the said article, Mrs. Bigatton went missing in March and has not yet been found. The Sydney Morning Herald notes that her husband isn’t involved in her disappearance.
The travel band and fund freeze was instigated by the Australia’s company watchdog ASIC that is presently investigating into Mr. Bigatton’s business dealings. As per the report, ASIC began the investigation and froze Mr. Bigatton’s assets earlier in Dec last year, and that the Australian federal justice court has presently ordered him to disclose all of his bank accounts and locations of ‘crypto holdings‘.
As reported earlier in Jan. last year, the Texas Securities Commissioner issued an associate Emergency Cease and Refrain Order against Bitconnect for the selling of unaccredited securities.
During the same month, once after receiving similar warnings from North Carolina regulators, the corporate formally closed its disposal platform and cryptocurrency exchange, leading the worth of its BCC coin to fall 87% at that time.
Even in Jan., investors ‘filed‘ a class action case against Bitconnect, seeking compensation after its shut-down on the grounds that the operation was reportedly a Ponzi scheme and therefore the cryptocurrency tokens were ‘unregistered securities‘.