MtGox Founder Refuses To Attend Hearing

Mark Karpeles, the found of the infamously bankrupt bitcoin exchange MtGox, has refused to attend a court hearing in the US on Friday. The courts had demanded that he testify in Washington over the disappearance of funds from the exchange earlier this year and the sudden discovery of ‘lost’ funds several weeks later.

MtGox

Photo: AP / BBC News

The exchange had lost $500m worth of bitcoin and subsequently filed for bankruptcy in Japan and the US. The company later revealed that it had “found” a quarter of the missing funds in an old digital wallet but offered no explanation beyond that.

Karpeles is currently holed up in Japan and will not travel to Washington for the hearing. His lawyer has asked that the hearing be delayed. He has not been charged with any crime.

BBC New reports on a court filing from Karpeles’ lawyers

“Mr Karpeles is now in the process of obtaining counsel to represent him with respect to the FinCen subpoena,” it said.

“Until such time as counsel is retained and has an opportunity to ‘get up to speed’ and advise Mr Karpeles, he is not willing to travel to the US.”