Sask. man in court battle with crypto exchange lost over $240K to fraud
A Sask. man who lost $240,000 in a cryptocurrency fraud is unlikely to get his money back anytime soon, a judge ruled.
A 66-year-old retiree from Cabri, Sask., signed up with a company called Honeybadger Enterprises to purchase cryptocurrency, a type of digital money.
He signed a pre-authorized debit agreement when he registered, allowing the company to withdraw money from his Innovation Credit Union account to make purchases, according to a King’s Bench court decision released last month.
Shortly after signing up, his email account was compromised, and a person claiming to be him continued to purchase cryptocurrency. HoneyBadger then “delivered cryptocurrency into virtual wallets unlikely to be seen again,” Justice Charlene Richmond writes.
When the man became aware of this, he contacted his credit union, which was able to retrieve $240,000 from HoneyBadger’s accounts.
The money was back in his account, but it wasn’t clear whether it still legally belonged to him.
HoneyBadger claims it’s entitled to that money because it transferred cryptocurrency in accordance with emailed instructions, while the man argues he is entitled to the money because he did not request, nor receive the cryptocurrency.
“Unfortunately, the cryptocurrency is unlikely to ever be recovered and ultimately the question of who shall bear the loss from the actions of this theft must be answered,” the court document said.
An order preserving the funds for a period of 30 days was granted in June, and was extended in July. HoneyBadger called for another extension but the man was opposed. Ultimately, a judge ruled in favour of HoneyBadger to preserve the funds.
“Although I am sympathetic that [he] finds himself embroiled in circumstances brought about by an unknown fraudster, I am nonetheless satisfied that HoneyBadger should have the preservation order as requested,” Richmond wrote in her decision on Sept. 19.
The preservation order will freeze the funds until the case is brought before the court again to decide who is liable for the loss, or until the two parties come to an agreement.
CTVNews.ca Top Stories
![](https://www.ctvnews.ca/polopoly_fs/1.6972157.1721587842!/httpImage/image.jpg_gen/derivatives/landscape_800/image.jpg)
BREAKING NEWS Biden drops out of 2024 race, endorses Harris to be Democratic nominee
U.S. President Joe Biden dropped out of the 2024 race for the White House on Sunday, ending his bid for re-election after a disastrous debate with Donald Trump that raised doubts about the incumbent's fitness for office with the election just four months away. It was a late-season campaign thunderstrike unlike any in American history.
What happens next: Joe Biden wants to pass the baton to Kamala Harris. Here's how that might work
With U.S. President Joe Biden ending his re-election bid and endorsing Vice President Kamala Harris, Democrats now must navigate a shift that is unprecedented this late in an election year.
Joe Biden: Trudeau reacts to news Biden won’t run for re-election
Prime Minister Justin Trudeau responded to the news that U.S. President Joe Biden won’t run for re-election Sunday, calling Biden a 'true friend.'
Harris, endorsed by Biden, could become first woman, second Black person to be U.S. president
Kamala Harris could become the first Black woman to head a major U.S. party presidential ticket after U.S. President Joe Biden abruptly ended his re-election bid and endorsed her.
Read Biden's full text announcing the end to his re-election campaign
U.S. President Joe Biden ended his re-election campaign on Sunday after fellow Democrats lost faith in his mental acuity and ability to beat Donald Trump. He announced his decision in a letter posted on social media. Read the full text.
BREAKING LCBO workers ratify tentative agreement, strike ends Monday
The union representing 10,000 workers at the Liquor Control Board of Ontario (LCBO) has ratified a tentative agreement, which will officially end its two-week strike at 12:01 a.m. Monday.
Joy in Newfoundland after 'Lucky 7' fishers survive harrowing days lost at sea
There was a powerful word being repeated in the joyful Newfoundland community of New-Wes-Valley on Sunday: 'Miracle.'
A 12-year-old girl is accused of smothering her younger cousin over an iPhone
A 12-year-old girl in Tennessee has been charged with murder, accused of smothering her eight-year-old cousin as the younger girl slept. A relative said they had been arguing over an iPhone.
Trudeau and family head to British Columbia for vacation in unnamed location
Prime Minister Justin Trudeau will head to British Columbia on Sunday, where he will be on vacation with his family until Aug. 1.