QuadrigaCX’s Former Attorney Reveals “Lawlessness” of CEO and Exchange, Sheds Light on Events Leading to Demise
It is hard to go more than a few days without hearing about the dramatic events of QuadrigaCX, playing out like something straight out of a soap opera. The exchange had been having some problems for quite some time in the year leading up to the tragic death of late CEO Gerald Cotten. Cotten passed away as a result of complications with Crohn’s disease, transferring all of his property and funds to his now-widow, Jennifer Robertson, only days before.
By January, less than two months later, the company was having “maintenance” on the website, prohibiting withdrawals. In any other circumstance, this could pass off as typical, but the subsequent decision to file for creditor protection showed that there was plenty to worry about. Though the issues have continued to play out in the Nova Scotia courts, a recent report shows that the former regulatory attorney for the exchange is speaking out about the platform. Specifically, she is discussing the “lawlessness” that eventually led the CEO and founder to fire everyone involved with the project that he considered to be the “law and order” types.
The attorney, Christine Duhaime, told her story through a post on CoinDesk, saying that she was originally hired as a way to help the securities attorney of Quadriga in 2015 with their drafting of the “statutory prospectus.” Duhaime explained that it only took about six months for Cotten to fire her and the firm, following a “management hard fork” by the next morning, taking then
down a path of lawlessness.
As Duhaime writes, Cotten began to treat the entirety of the QuadrigaCX exchange as though there was no one and no law that they had to abide by. It was almost as if Cotten didn’t care that he was running an exchange at all, considering that he just did whatever he wanted, in regard to the law.
Soon after, the firm that Duhaime worked for was roped into an extortion scheme where they were the target, starting about the same time as the creditor protection case that is still going on now. “A person,” Duhaime explained, demanded the confidential information of the exchange, stating that they would be defaming the law firm through social media and filing a false criminal report, which would all substantially hurt the firm.
Duhaime points out that this information was not provided, which is a good thing to some extent. However, because of these actions against the attorney’s firm, there are many people with relevant information that could help this case but are afraid to act or even be accused of a direct association with QuadrigaCX. Since there has been no approach to Duhaime or the firm, they took to the current attorney’s for Quadriga to offer the documents that they have available.
There are plenty of details that remain unknown to Duhaime and others, like why the cold wallets that Robertson described hold absolutely nothing, rather than the $92.3 million that should be in there. She does not know why there has been no Mareva injunction to protect the assets in the case, or why the $44.7 million worth of crypto remains in a wallet address that cannot be publicized. However, she notes that she is happy that she and the firm are one of the “law and order” folks, and they have not been silenced yet.
Now, the question is – how will this tale of “lawlessness” impact the current state of the court case? Do the documents in the firm’s possession have the power to make a change in the case?
To view the entirety of this half-confession/half-declaration of truth, visit https://www.coindesk.com/from-law-to-lawlessness-bits-of-the-untold-quadrigacx-story.