In Search of $140M: QuadrigaCX Gets 45-Day Extension to Recover Missing Funds

The investigation into the QuadrigaCX scandal continues as a Canadian judge has given the exchange some leeway by granting them a 45-day extension to trace the missing funds which amount to roughly $140 million.

Judge Michael Wood, presiding over the issue, was satisfied with the decision to grant the extension, with the next hearing scheduled for April 18. Wood also ordered Amazon Web Services to turn over any relevant data that it possesses, as Cotten reportedly used the service to create an account that held data on the exchange.

A lawyer representing the exchange, Maurice Chiasson of the firm Stewart McKelvey, said of the order:

We owe it to everyone in the process to go on as long as is reasonable.

Chiasson also said that Jennifer Robertson, the wife of exchange founder Gerald Cotten, lacked the experience to run a cryptocurrency exchange and potentially holds a conflict of interest as an executor of his estate. He said that “there needs to be a bit of separation here.”

Ernst and Young was recently appointed to be the monitor for QuadrigaCX. Elizabeth Pillon, partner at Stikeman Elliott, said that the 2 firms were in the “data recovery, asset recovery” phase but required some “breathing room” to resolve the matter.

This hopefully indicates that the missing funds will soon be recovered.

Once the stay has expired, creditors could sue the exchange. Until then, however, the exchange has the opportunity to recover the missing funds.

QuadrigaCX recently located some of the missing funds. Several theories have been put forth about what could have happened with the exchange, but nobody has a conclusive idea.

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