STRATEGIC PARTNERS
April 10, 2014
Mark Karpeles, former CEO of the now defunct Mt. Gox Bitcoin exchange, has been ordered by a Dallas judge to appear at attorneys' offices to be deposed in the company's U.S. bankruptcy case. But don't bet on him showing up.
If Karpeles sets foot in the U.S., for the April 17 deposition, there's a very good chance he'd be arrested on fraud, said a report by Gigaom, quoting an attorney engaged in an unrelated lawsuit against Mt. Gox.
The source also speculated that Karpeles might be wanted for questioning in the FBI's case against Charlie Shrem, a friend of Karpeles who has been indicted for money-laundering through the notorious Silk Road website.
According to Reuters, Karpeles and his attorneys filed the request for Chapter 15 bankruptcy protection as a blocking maneuver against a class action suit brought by Mt. Gox customers in Chicago.
Mt. Gox must prove that it should be granted protection from creditors under Chapter 15. That hearing is scheduled for May 20.
Karpeles is just as likely to be a no-show at the May hearing, which almost certainly will not be viewed favorably by Bankruptcy Judge Stacy Jernigan, who ordered Karpeles to Dallas for the April 17 deposition.
"If he avails himself of this court, [b]y God, he is going to get himself over here," she said.
