When Shan Hanes, the previous CEO of Heartland Tri-State Financial institution, was sentenced to 293 months in jail for his half in an embezzlement scheme that noticed him direct over $47 million {dollars} right into a “pig butchering” scheme, it was assumed that the failure of the financial institution would result in a “complete loss of equity for investors.”
Nonetheless, because of the intervention of Tether and its willingness to blacklist addresses, these buyers will obtain compensation.
An Amended Judgement filed right this moment notes that Hanes was forfeiting his declare to funds held in 0xef2797225aCEF65d583F157bbAf023C290D0e7dB, an Ethereum tackle that the judgment notes is “held by or under the care or custody of Tether Limited.”
Checking this tackle within the tether token contract allowed Protos to verify that it has been blacklisted by Tether and may not transact utilizing the tether token.
Fortune reported that yesterday Choose John W. Broomes was in a position to inform all shareholders that they’d be reimbursed in full for his or her investments.
The Federal Deposit Insurance coverage Company had already totally backstopped depositors at this establishment.
Tether freezing this tackle is probably going a part of its cooperation with the Federal Bureau of Investigations.