Thursday, July 18, 2019

Winklevoss Twins To Pay $45K To Charlie Shrem As Legal Fees

Judge Jed S. Rakoff has ordered Cameron and Tyler Winklevoss, the first bitcoin billionaires to repay Charlie Shrem $45,000. The twins had earlier filed a request in court that Shrem’s $30 million holdings should be seized. However, their request was denied and they have been asked to refund the legal fees Shrem must have spent to defend himself, according to a media report on February 7.

Judge Jed S. Rakoff Orders Twins to Reimburse Charlie Shrem

Per the report, Judge Jed S. Rakoff of the US District Court has ordered the Winklevoss twins to reimburse Charlie Shrem. The duo had lost to Shrem after they had requested that the latter’s $30 million worth of cryptocurrencies held on exchanges be frozen. Shrem, on the other hand, filed that he should regain the funds he had spent for his lawyer.

That being the case, the plaintiffs will have to reimburse the accused $45,000. The Winklevoss lawyers, however, made attempts to prevent Shrem from recouping the funds. According to them, he was only charged a small amount which may even be less than $5. Nonetheless, the judge did not rule in their favor, but reviewed the charges and asked that the reimbursement is reduced by 40 percent.

Brian Klein, a partner at Baker Marquart LLP, said:

“We are glad that the judge ruled for Charlie and ordered WCF to reimburse him for legal fees he incurred in overturning WCF’s approximately $30 million attachment order. This is another big step towards his full vindication.”

Cameron and Tyler Winklevoss Sued Charlie Shrem in November

This all began when Cameron and Tyler Winklevoss in November sued Charlie Shrem, their one-time business partner. According to the twins, Shrem had purportedly made away with 5,000 Bitcoins which is theirs. As at today, that is valued at around $16 million, but in 2012 when the trio transacted, it was worth $120 per coin.

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The twin’s attention was drawn to Shrem after he began living an affluent lifestyle only a year after his release from prison. The accused is said to have bought six properties, two powerboats, and two Maserati; which the court document said could be from the proceeds of the missing $5000 Bitcoins or he got incredibly lucky after leaving jail. Shrem, on the other hand, attributed his wealth to his old fashioned hard work.

Although accused may have been reimbursed, the case is still in court given that an official trial has been scheduled for April 8, 2019.

Grace Joseph
Freelance Writer, Blogger, and Crypto Enthusiast. Studied Computer Science in University and Undergoing a Masters Degree Programme in Computer Engineering [email protected] [email protected]

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