Canadian Province Requests QuadrigaCX Co-Founder Michael Patryn to Provide Explanation for His Wealth Under New Order
QuadrigaCX’s co-founder, Michael Patryn, has been summoned by the Canadian Province of British Columbia to provide an explanation for his wealth through an unexplained wealth order. This relatively new court order compels individuals to clarify the source of their assets. Patryn has raised objections, claiming that the order violates the constitution.
The Province of British Columbia intends to employ this unexplained wealth order, which obligates individuals to disclose how they acquired their assets, to target Michael Patryn, the co-founder of QuadrigaCX. “Today, we have filed our third unexplained wealth order application with the British Columbia Supreme Court,” announced Mike Farnworth, Minister of Public Safety and Solicitor General for the Province. Farnworth further expressed that QuadrigaCX’s fraudulent activities resulted in thousands of people losing their life savings.
The unexplained wealth order was utilized to seize a safety deposit box and an account at CIBC Bank. The box contained C$250,200 ($184,250) in cash, gold bars, luxury watches such as two Rolex watches and a Chanel J12 Black Diamond watch, as well as other valuable jewelry. The order also revealed the presence of a 45-caliber Ruger 1911 pistol with ammunition, along with identity documents associated with the names Omar Dhanani and Omar Patryn.
According to the Order, Patryn was extensively involved in all aspects of QuadrigaCX’s operations, including the misappropriation of customer funds and cryptocurrency. This justification allowed for the seizure of the aforementioned assets. In response, Patryn submitted a statement arguing that the seized goods were lawfully acquired and not obtained through illicit means.
“The investigation was conducted in such a manner that, and evidence was obtained during the investigation in such a manner that breached the Defendants’ rights as guaranteed by the Charter (Canada’s constitution),” stated Patryn’s legal representation.
Others who have been targeted by British Columbia’s unexplained wealth orders have also argued in court that these orders are unconstitutional due to the burden placed on them to explain the origins of their wealth.
Following the collapse of QuadrigaCX, Patryn transitioned into the decentralized finance (DeFi) sector, engaging in various protocols such as Wonderland and UwU Lend under the alias “Sifu.” It is believed that Patryn currently resides in Thailand. Notably, he was removed from his position in Wonderland after community members exposed his personal information and conducted a public vote, resulting in his removal as treasurer with a majority vote of 87.56%.
Prosecutors will present their case in court on April 30 for the application. The QuadrigaCX bankruptcy concluded last year, with claimants receiving only 13 cents on the dollar.