Mango Markets exploiter seeks to keep disputed funds paid as ‘bug bounty’
The alleged exploiter of the decentralized finance (DeFi) protocol Mango Markets, Avraham Eisenberg, is looking for to maintain his share of crypto gained from his so-called “extremely worthwhile buying and selling technique.”
On Feb. 15 attorneys for Eisenberg filed an opposition in a New York District Courtroom to a lawsuit from Mango that requested for $47 million in damages plus curiosity ranging from the time of Eisenberg’s October 2022 assault that drained round $117 million from the protocol.
The attorneys argued that Eisenberg shouldn’t must pay again any extra funds to the DeFi platform on account of a settlement settlement he reached with Mango DAO, arguing that the “matter was settled.”
A governance proposal was handed by the Mango DAO following the draining of its treasury that noticed Eisenberg hold a portion ($47 million) of the pilfered funds as a bug bounty together with a stipulation that Mango wouldn’t pursue authorized motion.
“Eisenberg transferred funds totaling roughly $67 million to Mango Markets,” the attorneys wrote, including:
“Weeks later, eligible Mango Markets’ members acquired reimbursement from the Mango Markets treasury. At that time, all concerned thought-about this matter closed and Mr. Eisenberg heard nothing farther from Mango Markets.”
Mango nonetheless, mentioned in its go well with that the settlement needs to be voided because it was made “beneath duress” and alleged Eisenberg “was not engaged in lawful bargaining.”
Eisenberg’s attorneys rebuffed these claims saying the “improper three-month delay” for Mango submitting its go well with “undermines any alleged irreparable hurt” and was to “take benefit” of Eisenberg’s December 2022 arrest in Puerto Rico by United States authorities.
Associated: Alleged Mango Markets exploiter waives bail throughout listening to in federal courtroom
Eisenberg was charged by the Federal Bureau of Investigation (FBI) with commodities fraud and manipulation.
He additionally faces a lawsuit from the U.S. Commodity Futures Buying and selling Fee (CFTC) that alleges market manipulation and a go well with from the Securities and Trade Fee (SEC) for violating securities legal guidelines referring to anti-fraud and market manipulation.
Eisenberg has beforehand said his trades on Mango had been “authorized open market actions, utilizing the protocol as designed” and referred to as his purported assault a “extremely worthwhile buying and selling technique.”
