MT. Gox demands return of $5.3m in CoinLab counter-suit

Bitcoin exchange MT. Gox has filed a counter-suit against its one-time partner CoinLab, demanding the return of around $5.3 million in customer funds.

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MT. Gox demands return of $5.3m in CoinLab counter-suit

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Last November, Japan-based MT. Gox inked a deal with CoinLab, effectively outsourcing its operations in North America to its US counterpart.

However, within months the relationship turned ugly and CoinLab filed a breach-of-contract suit against its partner, demanding $75 million, claiming that it has "wilfully failed to perform its obligations".

MT. Gox has now hit back with a counter-suit arguing that the breakdown of the partnership is CoinLab's fault because it failed to register with regulator FinCEN as a money transmitter.

MT. Gox also says that of the $12.8 million its customers deposited in CoinLab bank accounts, $5.3 million has yet to be returned.

Earlier this year the Japanese exchange had around $5 million in customer funds held in accounts with Dwolla and Wells Fargo seized by the US Department of Homeland Security.

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