A Legal Battle Between Britannia and Arbitral International:
- Britannia Financial is accused of not fully paying for assets related to a Tether deposit.
- Tether is indirectly involved in the dispute due to its partnership with Britannia.
- Britannia acquired Arbitral Securities in October 2021.
Britannia Financial Faces Serious Allegations
Britannia Financial, a partner of stablecoin issuer Tether, is facing a highly publicized lawsuit. The company is accused of omitting to “fully pay” Arbitral International in relation to the acquisition of a brokerage firm based in the Bahamas, known as Arbitral Securities.
The agreement between Britannia and Arbitral stated that Britannia Financial would make an additional payment based on the performance of Arbitral Securities one year after the sale. However, these “bonus” revenues were allegedly not paid by Britannia.
According to the Financial Times, Arbitral International, registered in the British Virgin Islands, has decided to take legal action against Britannia concerning a $1 billion USDT deposit from Tether (made during the year following the sale).
Tether at the Heart of the Conflict
Tether, famous for its USDT stablecoin, is indirectly involved in this dispute due to its connection to Britannia Financial. In November 2021, Tether opened an account with a subsidiary of Britannia Financial.
Britannia Financial is said to have been introduced to Tether by Aldo Mazzella, described as a “professional introducer.” Since 2017, Mazzella has reportedly maintained a close relationship with Tether.
In parallel, Tether recently froze $225 million in USDT in support of an investigation by the United States Department of Justice (DOJ).