According to lawyer Pavel Pogodin, the defense lawyers found “incriminating evidence” that Hayes wanted to hide.
The former head of BitMEX cryptocurrency exchange Arthur Hayes went to an amicable agreement with early investors in the trading platform Frank Amato and Elfio Guido Capone. Hayes will pay the latter $ 44 million in cash and stock. Pavel Pogodin, a lawyer at the Consensus Law company, told about this on his Twitter page.
— Pavel Pogodin, Esq. (@ppogodin) December 17, 2020
In December 2019, Amato and RGB Coin Ltd filed a $ 300 million lawsuit against BitMEX.The complaint alleged that in 2015 they invested $ 30,000 in Hayes’s company in exchange for 0.5% in its authorized capital. Hayes allegedly accepted the money, but then refused to fulfill his part of the agreement.
In the spring of 2020, Capone joined the lawsuit, who also invested money in BitMEX in exchange for a stake in the company. The amount of the claim was $ 540 million – such compensation is due to penalties for default.
Pogodin claims that Arthur Hayes agreed to an amicable settlement when the investors’ lawyers “found very incriminating evidence.” Some of these materials were considered in court – Hayes’s lawyers are trying to exclude them from the minutes of the proceedings.
According to the lawyer, the fact that Hayes agreed to pay compensation shows the consistency of the evidence found.
Recall that Hayes resigned as CEO of 100x Group (owns BitMEX) due to accusations from the Commodity Futures Trading Commission (CFTC) and the US Department of Justice. The exchange and its top managers are accused of violating the Bank Secrecy Law, as well as AML (counterterrorism) and KYC (customer identification) rules.