BCGAME - Free 5BTC Daily Bonus!In a series of events dating back to Voyager's bankruptcy last year, Stephen Ehrlich, former CEO of the cryptocurrency lending platform, now faces a legal storm. Two US regulatory bodies – the Federal Trade Commission (FTC) and the Commodity Futures Trading Commission (CFTC) – are suing the former project leader.
Documents reveal that both entities moved against Ehrlich in a New York court. While the FTC targets both Voyager and Ehrlich, the CFTC has focused squarely on Stephen, making him the sole defendant in its lawsuit.
The CFTC claims that the former CEO gave wrong information about the strength of the Voyager platform to his clients, which may have influenced investment decisions.
But the FTC is not far behind and adds more fuel to the fire. The commission alleges that Voyager and its former CEO made misleading promises regarding insurance coverage from the Federal Deposit Insurance Corporation (FDIC). Imagine thinking that your money is covered by insurance up to $250.000 and suddenly finding out that wasn't the case. Well, that's exactly what the FTC says happened. They even have screenshots to prove it!
On the other hand, in a different legal approach, Voyager chose to reach a settlement with the FTC, agreeing to pay a hefty $1,65 billion fine. However, it is worth saying that the company did not recognize the accusations as true.
As if that weren't enough, the case gains another layer of complexity. Francine Ehrlich, Stephen's wife, was also named in the FTC complaint. They believe she may have received funds related to Voyager's deceptive practices. Does this make the family situation a little tense at dinner?
Voyager's bankruptcy occurred in 2022, shortly after the fall of cryptocurrency hedge fund Three Arrows Capital. The company sought bankruptcy protection after halting deposits and withdrawals. But they have a plan: liquidate assets to reimburse customers.
Stephen Ehrlich, when asked about the matter, stated that the accusations seem like a movement by regulators who change the rules after the game is over. He is optimistic and hopes to clear his name in court.
