U.S. District Judge Approves Settlement Proposed by Mt. Gox

Both Sunlot Holdings Ltd. and some Mt. Gox creditors have received a preliminary court approval this week of a settlement which would see the acquisition of the disgraced exchange for one bitcoin in a move that would allow customers to be compensated for lost funds.

U.S. District Judge Gary Feinerman granted the initial approval at a federal court hearing in Chicago, Illinois on Wednesday, which would effectively settle a March class-action lawsuit against the company, Gonzague Gay-Bouchery (Mt. Gox’s Marketing Chief), and Jed McCaleb (who founded Mt. Gox and sold it to Mark Karpeles in 2011).

Both McCaleb and Gay-Bouchery were said to have accepted the settlement before it was presented in a courtroom.

“This is an important step that will allow us to move forward with the plan to return assets to Gox customers,” said John Betts, CEO at Sunlot. “The judge determined that the terms were fair and that this deal is in the best interest of creditors.”

If Mt. Gox were to be revived, Betts would likely be the new CEO.

Read more: The Mt. Gox acquisition deal

The court’s approval of the plan will allow Sunlot to pitch it to Nobuaki Kobayashi, the trustee in charge of overseeing Mt. Gox’s bankruptcy in Tokyo, Japan.

So what exactly does the agreement entail?

According to Sunlot, they would be distributing assets belonging to Mt. Gox a proportional basis to the 127,000 customers who lost money. That proportion would be determined by an independent audit.

The customers would also be receiving 16.5 percent interest in Sunlot Holdings — allowing them a share in dividends and any potential benefits in a buyout or initial public offering.

According to Sunlot, “An Administration and Prosecution Fund would manage customer interests and the recovery of the approximately $275 million of stolen customer assets.”

[textmarker color=”C24000″]Source[/textmarker] Save Gox

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