CAVIRTEX is a cryptocurrency exchange company, located in Calgary, Alberta. The official corporate name is 161243 Alberta Inc. The company is operated by two directors: Joseph Toth and Raymond Ball.
In early 2013, CAVIRTEX set out to acquire investments from the general public through a public offering on Havelock Investments, a cryptocurrency-based asset exchange. Originally operated from Ottawa, Ontario, Canada, Havelock Investments offered a large variety of “stocks” which could be traded on the asset exchange. CAVIRTEX was listed with the ticker symbol VTX and offered 10% of the company for sale in the form of 10,000 non-voting shares. These shares represented ownership in the company, were free to trade on the platform, and promised to pay dividends at an unknown future date. The IPO date was March 23rd 2013.
On approximately December 16th 2013, the administration of CAVIRTEX announced that the stock would be de-listed from Havelock Investments immediately. This unexpected revelation came at a time when the CAVIRTEX stock was at an all time high, trading for $118.48 CAD. With 10,000 shares outstanding, this gave CAVIRTEX a market capitalization of $1,184,800 CAD. The “Adjusted exit price” that was offered by CAVIRTEX was $30 CAD, resulting in an 80% loss for all investors. Furthermore, the delisting process effectively forced current investors to become permanent shareholders, due to the complexity of selling a private share certificate.
Based on the share price at the time of delisting, the total number of shares outstanding, and the adjusted exit price, CAVIRTEX is believed to have defrauded their investors for a sum of $884,800 Canadian Dollars.
If you were one of the investors who was victimized by CAVIRTEX you can file a claim to be part of the class action lawsuit by emailing [email protected]
The deadline for claim submissions is January 15th 2015.