Liquidators swarm MTI

Written by Ciaran Ryan. Posted in Journalism

Two applications for the liquidation of Mirror Trading International were filed in the high court on Wednesday by investors unable to withdraw funds. From Moneyweb.

MTI members interested in joining a liquidation application have been invited to signal their interest by the attorney repesenting one of the applicants. Image: Shutterstock
MTI members interested in joining a liquidation application have been invited to signal their interest by the attorney repesenting one of the applicants. Image: Shutterstock

Just a day after confirmation that Mirror Trading International’s (MTI) CEO Johann Steynberg had gone AWOL, two applications were filed in the Cape High Court for the liquidation of the company.

Both cases were brought by MTI investors who have been trying to withdraw funds from the bitcoin investment scheme that promised returns of up to 10% a month.

The Financial Sector Conduct Authority (FSCA) issued a statement several months ago advising the public to steer clear of MTI and ask for their money back on the grounds that it was operating without a financial services provider licence and was making extravagant claims.

Rapid growth in membership

Despite the adverse publicity and FSCA warnings, the number of MTI members grew from about 80 000 to a reported 280 000 in the last five months.

Read:Joining MTI may end in tears (Aug 20)
Get-rich-quick scheme pulls a crowd, despite regulators calling time-out (Aug 28)

One of the applications was brought by MTI investor Anton Lee and is likely to be heard on an urgent basis on Thursday (December 24).

Another application for MTI’s winding up, also before the Cape High Court, was brought by Steven Watkins who is owed R150 000 by MTI and has been unable to withdraw funds from his MTI account since December 21.

Ciaran Ryan

The Writer's Room is a curated by Ciaran Ryan, who has written on South African affairs for Sunday Times, Mail & Guardian, Financial Mail, Finweek, Noseweek, The Daily Telegraph, Forbes, USA Today, Acts Online and Lewrockwell.com, among others. In between he manages a gold mining operation in Ghana, and previously worked in Congo. Most of his time is spent in the lovely city of Joburg.