Patricia Technologies, a Nigerian company that trades in cryptocurrencies, tried to turn its clients’ assets into company shares but was turned down.
The founder of Patricia, Hanu Fejiro, reportedly signed the offer letter for those who spoke with The Investigation, but they refused to sign it because doing so would require them to forfeit their money.
The people who Patricia Coin took crypto assets from refused to give them back.
Early this year, the business said someone broke into its system and stole about N2 billion worth of customer assets. Because of this, the company changed the value of the customers’ assets to its coin. However, the customers now charge the company for fraud and want their original assets back.
Read also: Patricia converts customers balances to native tokens
Customers set to protest
A few customers have already decided to hold a calm protest in Lagos to get their crypto assets back.
One of the customers claims that the business has asked them to postpone the planned protest after learning about it and adding that doing so could discourage potential investors from investing in the business.
However, they are adamant that the demonstration occurs on the following day, October 24, 2023.
The last Zoom meeting we had with the company was more than 4 weeks ago. Hanu Fejiro mentioned investors’ funds. Are investors who haven’t come in the last six months coming now? The protest is worth it if it stops investors from investing. Customers told reports, “We can’t wait anymore.”
Offer letter
The founder wrote in the “Offer to Convert Debt to Equity in Patricia Technologies Limited”:
“Regarding the above. Following discussions with our authorized representatives, we offer the option to convert your debt in our Company to equity, making you a shareholder. If you agree, please sign and return the form via email. After receiving your acceptance, we will swiftly provide you with the necessary papers to complete the conversion for review and execution.
“We look forward to your acceptance within 7 days of receiving this letter and welcoming you aboard our ship.”
Physically absent from Nigeria
Over the weekend, Patricia denied a viral video of an empty office space allegedly deserted by the company due to debt. The company said it operates remotely and has no Nigerian office.
We moved our headquarters to Vilnius, Lithuania, due to 2021 CBN requirements. Our company strategy requires distant operations. Therefore, we’ve invested heavily in infrastructure. Patricia said our team is distributed across continents and has no office in Nigeria.
Although it “deeply regrets the discomfort you have experienced due to your inability to access your funds,” the company appealed to its consumers while it resolved the situation.
Backstory
Earlier this year, the crypto trading company transferred consumers’ crypto and fiat assets to Patricia Token without their authorisation.
In a White Paper explaining its actions, Patricia stated a cyberattack cost it assets. It noted that its commitment to integrity and consumer trust led to the Patricia Token, an internal token for customers to keep.
The company says the Patricia Token guarantees to pay holders 1 USDT for each Token in the future, assuring asset recovery and correcting the security breach. It said the Patricia Token is a company-managed internal debt token and not on-chain.