Courts in Canada Say BTC ATM Not at Fault for $60K Fraud
According to a CBC news report, a woman from Canada became a fraud victim last February after purchasing over $60,000 in BTC and transferred it to the alleged fraudster impersonating the CRA.
To regain her massive loss, the woman sued Instacoin ATM Canada Incorporated for exactly $62,500 in hopes of receiving a refund for the scam. This week the court ruled against her claim, deciding that Instacoin will not be required to compensate her for the loss.
According to her testimony, the victim received a call early in the year from someone claiming to represent the CRA. They claimed she owed money for taxes and she was required to make a payment in BTC. The woman then went to the ATM and deposited $62,500 to be exchanged to Bitcoin, and transferred it to the caller.
Assuming the money was a tax payment, the woman later discovered the caller was a fraud and does not work for the government at all. She stated that the crime put her in a difficult situation and she is in desperate need of her money back. She recently immigrated from outside of Canada and feared she would be deported if she did not make the alleged tax payment.
The victim later sued the ATM’s distributor Instacoin in hopes of collecting her funds back, but the court deemed Instacoin innocent of any crimes as they simply provided a service to a customer.
It is likely that the victim’s funds will never be returned. Even though Instacoin will is in possession of the woman’s physical funds, they have no obligation to return it to her as they are not responsible for the crime.