Legal action was brought against Binance
Colombian traders sued Binance due to the blocking of funds. Over 20 individuals claim that the Binance crypto-exchange blocked their accounts due to the request of the Dutch public bodies.
According to users, the Binance crypto-exchange accused them of illegal activities after a statement from the Fiscal Information and Investigation Service (FIOD). For five months, the victims had claimed about blocking of their accounts due to the alleged illegal origin of funds. Many funds were written-off from their accounts without prior notification. In an interview with Criptonoticias, Andrea Torrente, one of the victims, said that she hired a lawyer in order to get access to her blocked account. No official response has been received from Binance representatives in Colombia yet.
Theoretically, Binance's legal representative in Colombia and other authorities should be notified this week.
Andrea said.
To date, the accounts of those who have not received notification from FIOD have been unblocked. It is known that certain users had up to $1 million on their account. Another user of the exchange, Juan Pombo, lost $143,000 in cryptocurrency, which led him to bankruptcy. All users assure that they can provide evidence of the legitimacy of their funds through financial statements. 20 victims were reported, but the number could be higher, according to Criptonoticias.
Thank you for using Binance. Your account is currently under review by the Dutch Police. For more information on the status of your account, please contact the officer in charge of this case.
the official letter from Binance states.
Colombian users commented that Binance representatives themselves notify that they have nothing to do with the incident, and they simply do not respond to the letters of the victims. Also, one user named Caesar Maya noted that he had carried out the analysis using the Chainalysis blockchain data platform. Thus, it was revealed that a purchase was made from individuals associated with the darknet, however, this particular transaction represented less than 1% of his total account, and Caesar himself was not aware of this information at the time of the auction.
The victims united and formed a Telegram group, and also reported that they had already hired a lawyer to submit joint actions.
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