An Argentine lawyer has requested an Interpol Red Notice for Hayden Davis, co-creator of LIBRA, citing his risk of flight due to financial resources. The LIBRA token suffered a significant value drop after its launch, leading to substantial investor losses and allegations of a pump-and-dump scheme involving the creators. Davis maintains his innocence and has sought legal representation.
An Argentine lawyer has formally requested an Interpol Red Notice for Hayden Davis, co-creator of the LIBRA cryptocurrency. This request was filed by attorney Gregorio Dalbon, who previously represented former Argentine President Cristina Fernández de Kirchner, with prosecutor Eduardo Taiano and Judge María Servini, as reported on March 12 by Página 12.
An Interpol Red Notice serves as a global alert for law enforcement agencies to locate and provisionally arrest an individual. Such notices have appeared in various significant cryptocurrency cases, including those concerning Terraform Labs’ Do Kwon.
Dalbon’s court documents assert that Davis played a “central role” in the creation and promotion of LIBRA and posited a “procedural risk” given his financial means, which may facilitate his ability to flee or conceal himself.
The launch of LIBRA drew national attention when Argentine President Javier Milei mentioned it on social media, presumably contributing to a rapid increase in its value. However, the token’s value plummeted shortly thereafter, resulting in a loss of $4.4 billion in market capitalization and substantial financial damages to investors.
Blockchain analytics firm Nansen reports that approximately 86% of LIBRA traders incurred losses, totaling around $251 million. Critics allege that Davis and the token’s insiders executed a pump-and-dump scheme by holding the majority of the supply and selling at the token’s peak.
Recently resurfacing after a period of silence, Davis has engaged legal representation, including Brian Klein from Waymaker Law, noted for handling intricate financial crime cases with the SEC and U.S. Justice Department. He insists on his innocence, stating he “only wanted and sought the success” of LIBRA without any intention to defraud investors.
President Milei, similarly, has refuted any allegations of misconduct, clarifying that he merely “spread the word” about LIBRA without undertaking formal promotion. Prosecutor Taiano also intends to freeze approximately 110 million in assets as part of an ongoing investigation into Milei’s connection to the LIBRA controversy, as previously discussed in crypto.news.
In conclusion, the request for an Interpol Red Notice against Hayden Davis underscores the ongoing legal scrutiny surrounding the LIBRA cryptocurrency. The case raises significant questions about insider actions during the token’s turbulent launch, the consequences for investors, and the accountability of individuals in complex financial systems. Both Davis and President Milei have defended their actions amidst accusations of fraudulent behavior.
Original Source: crypto.news
