Following a discharge movement filed earlier this 12 months, the Digital Altitude Receivership has been formally closed.
The order was made on October fifth, following approval to pay $42,779 to Receivership employees.
We’ve beforehand lined the Receivership opting to not pursue restoration of $515,000 from John Souza and Paradise Media Ventures, and abandoning of nugatory Falcon Oil & Fuel shares.
At an October fifth listening to it was additionally revealed PayPal are sitting on $46,000. PayPal has suggested the Receivership it’ll “solely work with the FTC”.
As per the October fifth order, the Receiver is discharged. $1,488,296 will likely be transferred to the FTC “for the needs of client redress”.
Particulars of how the FTC will proceed have but to be disclosed. Ditto whether or not they’ll take any additional motion in opposition to PayPal or any of Digital Altitude’s net-winners.
Digital Altitude was a $54 million greenback pyramid scheme. Of that quantity, the Receivership solely recovered $2.1 million.
Regardless of net-winners like Jesse Singh boasting they scammed shoppers out of tens of millions, the Receivership didn’t provoke clawback proceedings.
As I said again in March, the Digital Altitude Receivership is among the weakest makes an attempt at client redress I’ve ever seen.