The Province of British Columbia received a forfeiture order for $1 million.
In cash, gold, and valuables associated with the co-founder of QuadrigaCX.
Patrin did not contest the claim, allowing the court to make the decision in his absence.
The forfeiture may pave the way for consideration of the return of some assets to the bankrupt exchange's creditors.
The Supreme Court of British Columbia ordered the forfeiture of approximately $1 million in cash, gold bars, watches, and jewelry associated with Michael Patrin, the co-founder of the bankrupt crypto exchange QuadrigaCX. Patrin failed to file a defense, allowing the court to enter a default judgment.
The forfeiture concerns the contents of a safe deposit box and a CIBC account: 45 gold bars, over $250,000 in cash, expensive watches (Rolex, Chanel, Baume & Mercier), and jewelry. All of this was seized under the unexplained wealth order, a new anti-money laundering mechanism.
QuadrigaCX Case History
QuadrigaCX collapsed in 2019 following the death of CEO Gerald Cotten. He was reported to be the sole owner of the keys to the funds. It was later revealed that client assets had been lost long before his death: used in risky trades or siphoned off for personal use. The Ontario Securities Commission assessed that by 2016, the platform had effectively become a Ponzi scheme.