Mango Markets, a crypto-focused financial services provider, has filed a lawsuit against Avraham Eisenberg, claiming over $47 million in damages. The company alleges that Mr Eisenberg had fraudulently misappropriated company funds totalling over $2.7 million.
In the complaint, filed on July 8th in the High Court of Justice in Israel, Mango Markets claims that Avraham Eisenberg had utilized a variety of tactics in order to misappropriate funds. Such tactics include creating fraud accounts. He transferred funds to all the bank accounts that he opened, and even manipulated some financial records to hide his actions.
Mango Markets is trying to get all misappropriated funds, as well as their interests, and other damages back. Yossi Efron, the attorney working for the firm has stated that they believe their complaint has a strong and compelling case for damages against Mr. Eisenberg, and that they are confident to get justice.
Mango Markets Files Lawsuit
However, the alleged Avraham Eisenberg has not responded to this case yet. Eisenberg happened to be a former ED of the firm. He is facing allegations of having misappropriated funds from Mango Markets between October 2017 and April 2020.
This case however is of major significance. It is a representation of a huge issue in the crypto market, where theft and fraud cases are becoming surprisingly common. Last year, there was an estimated $4.3 billion lost to crypto-related scams and theft, and this number continues to rise.
Mango Markets and other cryptocurrency-based businesses are particularly susceptible to fraud and theft, thus it is crucial that they take all required precautions to safeguard their clients’ money. According to the corporation, “totally committing to bringing those guilty to justice.”
The case is still ongoing, and it remains to be seen how it will be resolved. It is another reminder of the importance of exercising caution when dealing with crypto-related businesses, and understanding the risks that are involved.