NY Court grants ninth stay extension in lawsuit targeting Ponzi scammer Renwick Haddow

Maria Nikolova

The New York Southern District Court has granted a 30-day continuance until February 9, 2019, so that the parties may continue their discussions.

The criminal proceedings against Renwick Haddow, known for his Ponzi and bitcoin scams, have been prolonged further. According to the latest filings with the New York Southern District Court, the stay of the lawsuit launched by the US authorities against Haddow has been extended once again.

This is the ninth such continuance in this case, which has now been extended until February 9, 2019.

The reason for the stay extension, as previously explained, is the ongoing engagement of the Government and the defendant in discussions concerning a possible disposition of this case.

Let’s recall that, in June 2017, the charges against Renwick Haddow were unsealed. The criminal complaint charges him with two counts of wire fraud — one relating to the Bitcoin Store scheme and the other relating to the Bar Works scheme. Each charge carries a maximum penalty of 20 years in prison.

Under the allegations, Haddow, who is a citizen of the United Kingdom, from November 2014 through June 2017, solicited investments in start-up companies he created and controlled, including Bitcoin Store — a purported online platform for purchasing, selling, and storing the digital currency known as “Bitcoin”—and Bar Works, which purports to be a company that adapts former restaurants, bar premises, and other locations into co-working spaces. When doing so, Haddow made material misrepresentations about the management, operations, and historical performance of those companies.

For instance, Haddow concealed his interest in Bitcoin Store and fabricated the purported “experienced team of leading investment professionals” working at the company. In connection with Bar Works, Haddow adopted the alias “Jonathan Black” to further hide his role in the schemes. He claimed that “Jonathan Black” had an extensive background in finance and had a role in setting up “Car Share,” a car-sharing app.

Haddow solicited investments through his control of InCrowd Equity Inc., which represented itself as a type of crowdfunding portal through which investors could purchase shares of start-ups supposedly vetted by InCrowd. He did so without disclosing to investors that he had an ownership interest in both InCrowd, on the one hand, and Bitcoin Store and Bar Works, on the other. Haddow also misappropriated without permission funds purportedly invested in Bitcoin Store and Bar Works for his own use and the use of others.

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