On 31 October 2025 David McIlroy, acting on behalf of Claimants, who had been the victims of a sophisticated cryptoasset fraud, obtained a freezing injunction and information disclosure order. The assets targeted were those that had been traced by an expert.
On 23 January 2026, the matter came back before the Court. The issue was whether the orders should be continued notwithstanding the fact the court had not been made aware that the initial tracing methodology could lead to the assets of innocent parties being frozen.
David McIlroy was successful in obtaining a continuation of a freezing injunction and information orders in a cryptocurrency case, despite the problems with the initial tracing exercise. The case shows how English courts are adopting a pragmatic approach, supporting victims in their efforts to trace cryptoassets that have been dissipated by fraudsters using the blockchain.
Speed, persistence, and accuracy remain key to achieving recoveries in such cases.
David McIlroy was instructed by Andrew Taplin and Anita De Villiers of CMS LLP London.
To read the latest judgment, Smithers, and another v Persons Unknown and others [2026] EWHC 207 (Comm), click here.
