{"id":14216,"date":"2021-11-12T03:54:04","date_gmt":"2021-11-12T03:54:04","guid":{"rendered":"https:\/\/www.buyucoin.com\/crypto-labs\/unnamed-south-african-investor-proposes-buying-51-stake-in-collapsed-crypto-firm-for-5-million\/"},"modified":"2021-11-12T03:54:04","modified_gmt":"2021-11-12T03:54:04","slug":"unnamed-south-african-investor-proposes-buying-51-stake-in-collapsed-crypto-firm-for-5-million","status":"publish","type":"post","link":"https:\/\/www.buyucoin.com\/crypto-labs\/unnamed-south-african-investor-proposes-buying-51-stake-in-collapsed-crypto-firm-for-5-million\/","title":{"rendered":"Unnamed South African Investor Proposes Buying 51% Stake in Collapsed Crypto Firm for $5 Million"},"content":{"rendered":"

An unknown investor has proposed to acquire a 51% stake in Africrypt \u2014 the collapsed cryptocurrency investment company \u2014 for a purchase price of $5 million. However, in exchange for the offer, the investor wants all criminal proceedings against Africrypt directors dropped.<\/strong><\/p>\n

Offer Must Be Supported by 75% of Creditors<\/h2>\n

According to a report<\/a> by Moneyweb, Africrypt creditors are set to vote on the compromise offer on November 12, 2021. However, this offer can only become an order of the court if it receives support from 75% of the creditors.<\/p>\n

As previously reported<\/a> by Bitcoin.com News, Africrypt collapsed when the firm\u2019s two young directors, Raees and Amir Cajee, reported a breach of the company\u2019s systems. Soon after alleging that Africrypt was the victim of a hack, the Cajees disappeared along with investor funds. This in turn prompted Africrypt investors to launch legal proceedings against the two directors.<\/p>\n

However, as part of the compromise offer that has been presented to creditors, the investor will pay $4 million (R61.6 million) which will go towards the payment of the creditors\u2019 claims against Africrypt. The remaining $1 million would be used to boost the firm\u2019s working capital.<\/p>\n

In addition to the attempt to rescue Africrypt and to protect the two directors from possible criminal prosecution, the unnamed investor has also proposed the hiring of the Cajee brothers \u2014 as well as the appointment of the liquidator Eugene Januarie \u2014 to the Africrypt board.<\/p>\n<\/p>\n

Offer Allows Cajee Brothers to Avoid Criminal Prosecution<\/h2>\n

While some of the creditors are thought to be in favor of accepting the offer, the report suggests that some are not happy with a deal that allows the Cajee brothers to emerge unscathed. For instance, the report quotes one unnamed creditor who is against the deal. The creditor said:<\/p>\n

It\u2019s a \u2018get out of jail free card\u2019 for the Cajees. Who would invest in a business like this as if it had any credibility or chance of success, other than someone very close to the Cajee family.<\/p>\n

Still, another creditor suggested the offer is likely to receive the required support because it is the only scenario where creditors have a realistic chance of getting something. Similarly, the report quotes Darren Hanekom, the attorney representing some of the creditors, also expressing support for the deal.<\/p>\n

\u201cThis proposed compromise certainly comes at a convenient time considering the current prices of bitcoin and ethereum. We trust that the general body of creditors will make the right decision when the proposal is tabled for a vote,\u201d explained Hanekom.<\/p>\n

What are your views about the unknown investor\u2019s offer to buy a stake in Africrypt? Tell us what you think in the comments section below. <\/strong><\/em><\/p>\n

Bitcoin News
\nNews, Africrypt, Africrypt hack, Africrypt liquidation, Amir Cajee, Bitcoin, Darren Hanekom, Ethereum, Ponzi Scheme, Raees Cajee<\/p>\n","protected":false},"excerpt":{"rendered":"

An unknown investor has proposed to acquire a 51% stake in Africrypt \u2014 the collapsed cryptocurrency investment company \u2014 for a purchase price of $5 million. However, in exchange for the offer, the investor wants all criminal proceedings against Africrypt directors dropped. Offer Must Be Supported by 75% of Creditors According to a report by…<\/p>\n","protected":false},"author":0,"featured_media":14217,"comment_status":"","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[53,3],"tags":[],"class_list":["post-14216","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blockchain-news","category-coin-news"],"_links":{"self":[{"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/posts\/14216"}],"collection":[{"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/comments?post=14216"}],"version-history":[{"count":0,"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/posts\/14216\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/media\/14217"}],"wp:attachment":[{"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/media?parent=14216"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/categories?post=14216"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/tags?post=14216"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}