New Consolidated Complaint Filed Against BitConnect

By Chetna Phour

A new Amended Consolidated Class Action Complaint has been filed against the allegedly fraudulent crypto scheme BitConnect in the United States District Court for the Southern District of Florida.

Previously half a dozen lawsuits were filed against BitConnect, and now they all have been combined into a single effort. BitConnect (BCC) was the leading cryptocurrency platform which was suspected by the crypto community of being a Ponzi scheme. BCC was described as a high yield investment program. In January this year, the platform closed its operations. After the announcement of closing, the price of BCC token crashed down and most of the crypto exchanges delisted the token. In September 2018, the BCC token has been delisted from the last exchange, Trade Satoshi.

According to the court document which was filed on 11th October, the new class action coming months following the shut down of BitConnect and the subsequence collapse of the BCC token’s price consolidates all of the lawsuits which were previously filed against the crypto platform BitConnect.  According to the attorney David Silver of the Silver Miller law firm, Silver Miller has been named the Class Counsel in the new suit. In the suit, the names of some more BitConnect owners and promoters have been added which were not the part of the previous lawsuits. He said, as with time more information becomes available, we learned more about the individuals who were involved in the scam. In the new complaint, the name of all persons has been included who were associated with the crypto platform.

David Silver added that

“The Amended Consolidated Class Action Complaint highlights those actors who participated in the creation of BitConnect and the promoters of BitConnect. The amount of fraud and the amount of investment loss in such a short period of time is staggering. We hope to move the lawsuit along as fast as possible and hold as many people accountable both in the United States and abroad.”

The new consolidated lawsuit calls for a jury trial and seeks the rescission of the investment made by plaintiffs. The lawsuit is also looking forward to compensatory damages for plaintiffs.