On February 28th, the Delaware court heard a defamation lawsuit filed by AML Global and its CEO, Christopher Harborne, against the Wall Street Journal for portraying them in illegal activities.
Claims stem from the March 2023 WSJ article “Crypto Companies Behind Tether Used Faked Documents and Shell Companies to Get Bank Accounts,” which claimed that major cryptocurrency companies, including Tether and Bitfinex, had no choice but to engage in fraudulent activities to open bank accounts, rendering them unable to access banking services directly.
Harborne, who shares Bitfinex as the security token holder of the Bitfinex 2016 hack reparation program, denied money laundering and terrorism financing. While Harborne acknowledged that he had no stake in Bitfinex or Tether, the defamation suit claims the report incorrectly linked him to the issue.
In its second revision, published on February 21st, the WSJ removed this section, claiming that their previous venture to use Signature Bank’s services was unrelated to the probe.
In response to the complaint, the WSJ maintained its reporting standards, noting that a review of the disputed passages led to their removal. The publication blasted the lawsuit’s “inaccuracies and distortions” and indicated that it was prepared to take legal action.
The case ultimately will show whether Harborne and AML Global can prove defamatory harm was caused by the WSJ’s general associations rather than specific statements of fact. More developments are expected as the session continues.
