18 September, 2019
Canadian dead cryptocurrency exchange QuadrigaCX has reportedly come into the attention of the country's tax authority.
According to the media reports, Canada Revenue Agency plans to check corporate documents of the platform. In particular, it has already requested tax reports covering October 1 2015-September 30 2018. Notably, the mentioned period is the time when the exchange started facing problems with withdrawals.
At the same time, the top-4 consulting company E&Y that was appointed as the auditor of the exchange will discuss the request with CRA and apply for the court approval to disclose the information.
For reference, the shut down of the platform entailed many doubts and questions in early 2019 following the death of its founder in late 2018. QuadrigaCX lost $190 million funds that belonged to the clients. In April the court ordered to launch the bancruptcy procedure.
The representatives of the tax authority refused to comment on the data reqeust, though stated that the exchage would break the law in case of denyaing the request.
During the investigation it was discovered that platform's CEO Jerald Cotten kept funds in private wallet and traferred them to 3-rd party exchanges. Morever, he reported used clients' funds as a charged property for transactions.