Australian NGS blockchain mining company liquidated by court for illegal operations

The Federal Court ruled that NGS Group Limited and its affiliates NGS Crypto and NGS Digital operated financial services illegally without holding an Australian Financial Services License (AFS), and they have now been permanently banned from engaging in related activities and ordered to be liquidated.

It is reported that approximately 450 Australian investors invested around AUD 59 million through these companies, most of which were made through self-managed superannuation funds encouraged by NGS. The court has appointed professionals from McGrath Nicol as liquidators to handle the company's assets and return funds to investors as much as possible. ASIC Deputy Chair Sarah Court stated that NGS completely disregarded Australian financial services laws, leaving investors without basic protections. ASIC's investigation into the company and its directors is still ongoing.