The firm behind Manila’s remarkable Solaire Resort Entertainment City found itself in legal trouble, caught in a lawsuit brought against them by Bangladesh Bank due to alleged data breaches. However, the company recently earned another victory with a ruling from the Appellate Division at the New York Supreme Court.
Additional Court in Favor of Bloomberry Resorts
Remarkably, this latest judgment follows in the footsteps of a previous verdict by the Supreme Court that dismissed the Bank of Bangladesh’s accusations against the defendant. The in-depth information provided in the Philippine Stock Exchange filing shows the Appellate Division handed down its decision on May 20, reinforcing the prior Supreme Court ruling dating back to April 2022.
Bloomberry Resorts Corp, including its subsidiary Bloomberry Resorts and Hotels, Inc, joined by Rizal Commercial Banking Corporation, and Eastern Hawaii Leisure Company, Ltd have all faced accusations of grave offenses. Charges against them range from fraud conspiracy, facilitation and support, conversion, theft, misappropriation to a whole host of other serious allegations.
The case stems from a significant security breach led by a North Korean hacking group against Bangladesh Bank in 2016. The group was responsible for draining as much as $1 billion from the bank’s coffers. In doing so, the hackers targeted the Federal Reserve Bank of New York. Despite the Reserve Bank’s prompt response, which blocked most of the illegal transfers, a staggering $101 million still managed to be redirected.
Bank Unlikely to Recoup Further Monies
Fortunately, the bank succeeded in retrieving $20 million of the stolen funds, but unfortunately, the remaining $81 million continues to remain out of reach. On investigating further, the plaintiff discovered that the unaccounted funds had primarily flowed through several casinos and gabling establishments, aiding in the purchase of gaming chips and premium junket room experiences. The hackers had taken advantage of a long weekend, permitting the money’s seamless transfer.
Ever since the grand heist, Bangladesh Bank has been tireless in its attempts to recover the vanished funds. They accused the defendants of a lack of diligence regarding fund sources and failing to alert the authorities promptly. However, recent court decisions are suggesting that that it’s increasingly unlikely for the Bangladesh Bank to retrieve any more of the lost money.
