Liquidators of South African BTC Scam Allocate Nearly 40% of Recovered Funds to Legal Fees and Taxes

Liquidators managing the fallout of a major Bitcoin scam in South Africa have revealed that nearly 40% of the recovered funds have been allocated towards legal fees and taxes. With approximately $60 million (ZAR1.1 billion) recovered, only $34.3 million remains to reimburse the victims of the collapsed platform Mirror Trading International (MTI). Court documents show that $15.2 million was directed towards outstanding tax liabilities, while legal fees, including summoning numerous MTI investors who withdrew funds from the Ponzi scheme within a specific timeframe, amounted to $7.78 million. In addition, the liquidators’ attorneys issued 187 letters of demand in the U.S. and 149 adversary complaints, resulting in further legal costs. The liquidators themselves have accrued fees totaling $7.5 million for their efforts thus far.