Justin Sun’s allegations that Hong Kong-based custodian First Digital Trust is bancrupt have landed him within the cross-hairs of a defamation declare initiated by the corporate.
First Digital’s FDUSD stablecoin briefly de-pegged on April 3 after Sun claimed the corporate was “insolvent,” although it has since just about recovered, in accordance with CoinDesk markets knowledge.
The writ of summons, step one in a defamation declare, was filed late final week and requests the Hong Kong Excessive Court docket to concern an injunction restraining Sun from making additional statements on the matter. It additionally asks for an injunction requiring Sun to publish retractions.
It additionally asks for the Court docket to concern an award for damages (although it does not specify how a lot) for “unlawful interference with the Plaintiff’s contractual and business relationships” and “causing damage to the Plaintiff’s business.”
Within the time since Sun made his first declare on X that First Digital was bancrupt, the Tron founder has since doubled down on the difficulty, holding a press convention late final week in Hong Kong alleging fraud and calling on the territory’s regulators to reform guidelines round trusts.
For its half, First Digital has posted examples of redemptions going via.
A date for an preliminary court docket listening to has not been set. Sun has not but filed a response, however posted on X that he “welcomes any legal process.”
A spokesperson for Sun had no touch upon the matter.
The case quantity is HCA 680 in Hong Kong’s Excessive Court docket.
