The Gibraltar court ordered them to cooperate with Globix’s liquidators seeking $43 million in lost funds.
The report, which stated that Cryptocom, Bitstamp and Kraken were instructed to identify the owners of suspicious wallets and Binance to freeze transfers, also included the court decision dated April 13 and interviews with a person familiar with the research.
Court Requests Identity to be Disclosed
According to information obtained by the Financial Times, the court has requested rival exchanges such as Cryptocom, Bitstamp and Kraken to disclose the identities behind certain crypto wallets linked to the Globix platform.
Gibraltar passed regulations for crypto in early 2018, making it one of the first jurisdictions in the world to write rules for the nascent market.
The company’s sole shareholder and director, Damian Carreras, is a Gibraltar citizen, and the majority of Globix’s investors are based in Gibraltar, according to people familiar with the matter. One of them said that some of the investors hold influential positions in legal and political circles, and that at least one investor is an incumbent member of the Gibraltar Parliament.
The interim injunction, issued on April 13, also stated that anyone who was aware of the decision could be charged with contempt of court, who assisted or allowed the defendants to violate the terms.
Globix closed its doors to investors in June last year due to the crisis of confidence that has gripped the crypto market. However, the company has also caused several major crypto assets, including Bitcoin, to lose more than half of its value and bankrupt several once prominent firms. The company’s director, Carreras, voluntarily liquidated Globix last month after struggling for a long time to pay investors.
Gibraltar was graylisted by the Financial Action Task Force last June. It has been determined that the countries included in this list have strategic deficiencies in their anti-money laundering and terrorist financing regimes.
The Government of Gibraltar stated that the case demonstrates the need for licensing and oversight of firms to ensure adequate consumer protection standards, adding that Gibraltar is the primary target in crypto regulations.
Carreras told the Financial Times that Globix was the victim of cybercrime.
Filings with the Gibraltar courts allege that a Globix funds wallet was active until late September 2022, long after investors’ accounts were locked. In addition, approximately $18 million was transferred to Binance between May 2021 and September 2022. However, Binance did not respond to a request for comment on the matter.
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