Mirror Trading International Gets Liquidation Order From SA High Court As Steynberd Flee

By: Evan Page

January 01, 2021 10:36 PM

A South African High Court located in cape town recently granted a provisional liquidation order against Mirror Trading International (MTI) following an application for relief by two investors who failed to withdraw their bitcoin. According to a statement released by lawyers of one of the aggrieved investors, this provisional order paves the way for the appointment of a liquidator to take control of MTI’s assets and liabilities.

The court orders came as two MTI clients approached the court with an urgent application against the shady business. MTI is believed to be holding around R9.45 billion ($644 million) received from almost 28,000 investors spanning across the globe, the court orders followed several warnings by the South African Financial Sector Conduct Authority (FSCA) against MTI.

At the same time, a statement released by MTI management alleges that Steynberg, who is no longer communicating with fellow executives, blocked his colleagues from accessing the company’s funds. The management team says it is now working with law enforcement as it tries to recover investor funds.

Meanwhile, as one local publication reports, the court’s provisional order also calls on “creditors and interested parties to reconvene in early March to show why a final liquidation order should not be granted.” However, in the meantime, the provisional order “will now be served on MTI’s registered business premises.”

Nevertheless, the report explains that there are doubts that the court can successfully serve the CEO with the order since his exact whereabouts are unknown. Coinnewsafrica.com has previously reported that Steynberg fled to Brazil and left his wife Nerina in control of MTI’s funds.

Furthermore, the management of the firm reportedly agreed to cooperate with law enforcement as they cannot contact Steynberg.

Even before the South African regulator initiated its probe against MTI, the Texan regulator issued a cease-and-desist order against it, alleging it to be an international multilevel marketing scheme