01
Dec
2017

Tezos founders push for legal bailout from Swiss foundation

Reuters

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The couple behind the embattled Tezos cryptocurrency tech project wants the Swiss-based Tezos Foundation to cover their costs for lawsuits accusing them of fraud related to an online fundraiser it ran, people familiar with the matter told Reuters.

That would mean contributors to the fundraiser, known as an initial coin offering, would be indirectly footing the bill. The contributors have yet to receive anything, even though the project in July raised $232 million. The Tezos Foundation, which controls the proceeds, so far has not agreed to the couples’ request, the people said. The foundation was established to develop the project.

The Tezos project and its founders, Arthur and Kathleen Breitman, are facing three class-action lawsuits in the United States. Plaintiffs allege federal securities law violations and that the fundraiser defrauded participants, who were told they were making non-refundable donations to the Swiss foundation. The lawsuits are seeking refunds and damages.

To read the full story:  Exclusive: Tezos founders push for legal bailout from Swiss foundation

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