AT&T Sued for $224M After Crypto-Theft
A US businessman and digital currency trader, Michael Terpin, filed for legal action on the 15th of August after claiming that AT&T, one of the top telecom companies in America, was involved acts of fraud after all his cryptocurrencies were stolen directly out of his personal account as reports have stated.
According to Terpin and his $224M USD lawsuit against the company, he states that three million crypto-coins were taken from his own account on the 7th of January as what he refers to as a digital ID theft of his smartphone that was issued by the accused company, AT&T. The entrepreneur is a co-founder of BitAngels, a company that provides seed investments into startups, launching it in 2013 and a crypto-hedge fund the following year.
As of now, Terpin is currently employed at Alphabit Fund as a high-ranking advisor to a massive digital hedge fund. In response to the accusations, AT&T stated that the company denies any of these accusations and will be ready to defend themselves in court. Back in January, Terpin’s fortune in terms of cryptocurrency price was around $24M, although now he’s aiming to add another $200M through the court case. During the time when his coins were stolen, almost all digital currencies were being traded at the all-time high prices and as Terpin has stated, the company was warned by officials that’s acts of fraud like this may happen.
Additionally, he says his coins were stolen through a malicious method of theft referred to as a SIM card swap in that it cons telecom companies into sending them to duplicate cards under the guise that the original had been lost and in this way, they access the victims phone number and can then proceed to steal funds and other assets from a user’s account. Terpin will be represented by Greenburg Glusker, a legal action company, in court. He adds that following the theft, his phone account was then transferred to what he believes is a global crime syndicate.
The court document reports his complaints, saying that what the company did to Terpin was similar to a hotel providing a criminal with a key to his room and his private assets.