Bitconnect Promoter Hit with Travel Ban, Fund Freeze by Australian Federal Court

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According to The Sydney Morning Herald, the Australian Federal Court has forced a travel ban and funds frozen of Mr. John Bigatton, a promoter of $2.6 billion Ponzi scheme Bitconnect.

Mr. John Bigatton is reportedly listed as shareholder and director of Bitconnect International Plc and only spokesperson of Bitconnect Australia. Bigatton’s wife, Mrs. Madeline Bigatton, is purportedly the sole director and shareholder of JB’s Investment Management, a firm whose assets have been frozen, that is believed to be associated to Mr. Bigatton.

As per the article mentioned above, Mrs. Bigatton went missing in March and hadn’t been found yet. The Sydney Morning Herald writes that her husband is not involved in her disappearance.

Australia’s corporate watchdog ASIC investigated the travel ban and fund freeze, which is currently looking into Mr. John Bigatton business dealings. As per The Sunday Morning Herald, ASIC commenced the proceedings to freeze Mr. Bigatton’s assets in December last year, and that the justice of Australian Federal Court has now directed him to disclose all of his bank accounts and locations of crypto holdings.

As reported in January last year, the Texas Securities Commissioner issued an Emergency Cease and Desist Order against Bitconnect for the selling of unaccredited securities.

After getting similar warnings from North Carolina regulators, the company formally shuts its lending platform and digital currency exchange, leading the value of its BCC coin to fall 87% at the time.

Further, in January 2018, investors filed a class action lawsuit against Bitconnect, seeking compensation after its shutdown because the operation was purportedly a Ponzi scheme and the digital currency tokens were unauthorized securities.

Nishanth Shetty

Nishanth Shetty is a technical writer, author and a crypto-advisor working at Cryptofame. Based in the city of dreams, Mumbai, on the west coast of India. He holds a bachelors degrees from Mangalore University. Nishanth has a myriad experience of technical writings for tech brands. His interests include technology, travel, and food.