Alleged co-conspirator of OneCoin asks for more time to respond to victims’ complaint
David Pike requests to be given additional 30 days to respond to the complaint filed by clients of fraudulent cryptocurrency scheme OneCoin.
A lawsuit brought by clients of fraudulent crypto scheme OneCoin continues at the New York Southern District Court, with the plaintiffs now having to deal with certain formalities such as executing service on the defendants.
As FinanceFeeds has reported, a number of defendants in this action remain unserved – this list includes “crypto queen” Ruja Ignatova and OneCoin. Other defendants have gotten the complaint in this case. One of them is David Pike, an alleged co-conspirator of OneCoin who worked alongside Mark Scott, a former attorney. The so-called “Scott defendants” have allegedly aided and abetted the fraudulent cryptocurrency scheme.
David Pike is believed to be domiciled in Coral Gables, Florida. Pike served alongside Scott as a director of MSS International Consultant (BVI) – the company that controlled, directly or indirectly, over a dozen investment funds said to have been used to launder hundreds of millions of the OneCoin’s criminal proceeds.
According to the plaintiffs, Pike has yet to be named as a co-conspirator in the criminal actions. However, Pike has been subpoenaed, produced “a substantial number of hard-copy documents” relating to MSSI’s operations and the government continues to investigate the level of Pike’s involvement with laundering OneCoin’s criminal proceeds.
According to the victims of OneCoin, from 2016 through in or about 2018, the Scott defendants provided substantial assistance to the OneCoin Defendants’ fraudulent scheme by laundering in excess of $400 million of OneCoin’s fraud proceeds thereby affirmatively assisting the OneCoin Defendants (Konstantin Ignatov, Ruja Ignatova, Sebastian Greenwood and Irina Dilinska) in defrauding OneCoin investors and evading regulatory scrutiny and international law enforcement efforts by concealing the OneCoin Defendants unlawful, immoral and fraudulent conduct which has caused, and is continuing to cause, significant financial harm to the plaintiffs.
Earlier today, David Pike submitted a Letter Motion with the New York Southern District Court asking for 30 additional days, that is, until October 30, 2019, to respond to the complaint. The reason for the requested extension of time to file response is that the case is complex and the defendant needs to retain counsel and that the counsel has to prepare an appropriate response.
The plaintiffs in this lawsuit represent all individuals and entities who transferred to the OneCoin Defendants, directly or indirectly, any fiat currency or cryptocurrency to invest in OneCoin Trader Packages or OneCoins from April 2014 through to and including March 2018 and who suffered financial injury as a result thereof.
The plaintiffs seek (inter alia) preliminarily enjoining the defendants from making further transfers or dissipations of the investments raised from the offer and sale of OneCoins and in connection with the OneCoin trader packages/memberships, or using such funds in any further purchases or transactions. The plaintiffs also request an accounting of the remaining funds and assets raised from the plaintiffs and the Class in connection with the offer and sale of OneCoins and the OneCoin trader packages/memberships. Further, the plaintiffs seek rescission of the investments made by them and the Class relating to the offer and sale of OneCoins and the OneCoin trader packages/memberships and/or compensatory damages.
