Africrypt fraud suspects put forward loss figure of $3.6 billion.

One of the founders of the collapsed crypto-investment firm Africrypt, Raees Cajee, said that its portfolio did not come close to the attributed sum of $3.6 billion. The WSJ reports.

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“At the market peak, we were managing just over $200 million,” Cajee clarified.

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According to him, the firm had suffered no more than $5 million in irrecoverable losses. He added that he and his brother Amir are in hiding because of death threats.

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On 13 April 2021, Africrypt CEO Amir Cajee sent a letter to clients informing them of a breach of the firm’s systems, including client accounts.

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He wrote that the company had to halt operations, and that recovering the missing funds would take “a significant amount of time”. The head of Africrypt urged investors to refrain from lawsuits, as this could hamper recovering losses.

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According to the law firm hired by Africrypt’s investor group, Amir and Raees Cajee after the alleged breach transferred assets under the company’s management to their own Bitcoin wallets.

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Earlier, an anonymous Africrypt investor confirmed that losses were well below the $3.6 billion figure.

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