Investors in Collapsed South African Crypto Platform Push for Jailing of Africrypt Directors

A group of investors in Africrypt are reportedly pushing to have criminal charges pressed against directors of the now-defunct cryptocurrency investment platform. Opponents of the move have argued that this push is unlikely to succeed because many of the investors have already been reimbursed part of their funds.

Mystery Investor Injects More Than $5 Million Into Africrypt

In a new twist to the Africrypt saga, a group of investors in the collapsed cryptocurrency investment platform is reportedly taking steps to ensure criminal charges are leveled against the firm’s two missing directors. The move by these investors comes just a few weeks after a mystery investor paid more than $5 million to rescue Africrypt.

According to a Bloomberg report, this group of investors wants the matter resolved quickly and has raised the possibility of pursuing the case via a private prosecution. These investors are being represented by Sean Pierce of Coast to Coast Special Investigations. In an interview, Pierce explains why the investors want criminal charges pressed against the crypto platform’s two directors, Raees and Ameer Cajee. He said:

We are pushing for the brothers to be charged for fraud, theft, possibly money laundering. They can get 10 to 15 years for a first-time offense.

Criminal Charges

However, some — including a lawyer that is representing Africrypt — have suggested that the push to have the Cajee brothers criminally charged is unlikely to succeed. They argue an arrangement that a majority of investors agreed to before being reimbursed effectively gives control of all their claims against Afrcrypt to the mystery investor.

As previously reported by Bitcoin.com News, a majority of Africrypt investors had agreed to the terms proposed by Pennython Project Management LLC, a Dubai registered firm. Under the proposal, investors would be paid an equivalent of 65 cents for every dollar invested.

Although Pierce is quoted in the report admitting that some of the investors he represents were indeed reimbursed, he insisted, however, that investors “are still pushing forward with the criminal case as there is still money lost.”

Do you think these investors will succeed in their bid to have the Africrypt directors jailed? Tell us what you think in the comments section below.

Terence Zimwara

Terence Zimwara is a Zimbabwe award-winning journalist, author and writer. He has written extensively about the economic troubles of some African countries as well as how digital currencies can provide Africans with an escape route.

Image Credits: Shutterstock, Pixabay, Wiki Commons