Michael Terpin, a Bitcoin investor, has recently filed a lawsuit against the multinational telecommunications giant AT&T after he lost cryptocurrency worth $24 million in a mobile-based hack. The plaintiff has allegedly accused the company of this loss, as reported by CNBC.
Terpin, a resident of California and co-founder of BitAngels- an angel group for bitcoin investors, holds AT&T responsible for the hack as he believes that it’s the cellular data provider’s negligence that has caused this. He has filed a 69-page long complaint in U.S. District Court, Los Angeles for $224 million. Terpin is seeking compensatory damages worth $24 million along with punitive damages amounting to $200 million.
The investor said that his crypto tokens got stolen because of digital identity theft of his AT&T registered cell phone account. The account was first hacked seven months back as alleged by Terpin after a fraudster got hold of his phone number without an AT&T employee enquiring about a valid password or identification. He has further claimed that it was an “insider cooperating with the hacker” that made the theft possible.
Terpin also tweeted that AT&T needs to be sued for “fraud and gross negligence” by allowing imposters to swap SIM cards. As a reply to all these accusations by the crypto investor, AT&T stated in an email that they “dispute these allegations” and look forward to presenting their case in the court.