On Friday, the UK government announced that an insolvency investigation into Micasa WW Ltd and Remultex Ltd showed that between February 2019 and December 2020 the companies engaged in bitcoin fraud, transferring almost 1 £.3million through their accounts with no trace.
In A press releasethe UK says the two companies fumbled the bag during questioning over the large unregistered transfers, prompting the High Court to order their accounts liquidated and closed for lack of liability.
“Micasa, along with associated company Remultex, both closed after accounts failed to explain large payments and misuse of bounce-back loans,” the press release read in part.
Companies cannot book £50,000 BBL
Investigators who carried out the investigation found the companies had moved a £50,000 repayment loan and there was only one record or document showing they were following the rules while moving the sum cash lump sum. Remultex had a £30,000 bounce loan even when his account was ineligible to receive the funds.
“The company had been identified as potentially involved in a cryptocurrency scam, although the lack of accounting records meant it was not possible to verify whether its activity was a legitimate business activity. Investigators have identified that it had secured a £50,000 bounce back loan (BBL), although there was also no evidence that the company was eligible under the rules of the scheme,” the press release said.
A Manchester High Court judge, Woodward, has ruled it was in the public interest to close the businesses as they breach trading policies and operate without commercial ‘probity’ which has led to transfers illicit money.
“As part of its duties, the official receiver as liquidator will seek to recover and realize the assets of the company to make returns to creditors,” said David Hope, the insolvency service’s chief investigator.
Cryptocurrency on the rise
As cryptocurrency gains momentum, crypto crime has become a major issue forcing law enforcement to investigate illicit blockchain transactions. In 2020 alone, around $10 billion was defrauded in illicit money flows, according to data provided by On-chain analysisand in 2021, the crime rate has increased significantly to $14 billion in global cryptocurrency transactions.
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