Dubai court freezes $456m linked to Justin Sun’s bailout of Trueusd Issuer Techteryxx
The $ 456 million deficit in the reserve forced Justin Sun to bail Trueusd stableCoin token holders are now the subject of a Worldwide freeze order upheld by Dubai’s Digital Economy Court.
The disputes center on whether funds from TrueUSD reserves were improperly funneled to Aria Commodities DMCC, a Dubai-based firm that finances commodity shipments, mining projects and other ventures in emerging markets, according to counsel of the claimant.
Aria, which is part of a group of entities controlled by financier Matthew William Brittain, received money in 2021 and 2022 through accounts managed by Hong Kong Trustee First Digital Trust.
The first digital trust did not immediately respond to a request for comment from Coindesk.
Techteryx claims the transfers violated custodial terms and turned into cash reserves in long-term loans and private deals that could not be redeemed when stablecoin holders sought withdrawals.
In Previous comments At Coindesk, Aria Group’s Matthew Brittain said liquidity issues are more than just promises.
“Aria CFF has not yet held (its strategy) to be highly liquid, or appropriate for the reserves of a stablecoin,” he told Coindesk.
Black said he found that Techteryx presented a credible claim that the funds were held in constructive trust, while Aria provided “no evidence” of how the money was transferred or who owned the properties purchased with it.
He also noted a “real danger” that Brittain, controlling Aria’s mind, could lose or rearrange assets “so as to frustrate the execution of any judgment.”
The ruling marks the first global freeze order issued by Dubai’s Digital Economy Court.
