James Howells, 39, loses legal battle to reclaim his lost Bitcoin with council (Image: SWNS)
James Howells, who unwittingly discarded a now worth over £600 million, has been dealt a blow in court after his attempted legal action to recover it was dismissed.
The 39-year-old took on Newport Council in a bid to excavate a hard drive containing 8,000 Bitcoins lost in a rubbish tip managed by the Welsh authority.
Despite Bitcoins currently trading at north of $102,000 per unit, Cardiff High Court ruled against Howells’ quest today with Judge Keyser KC stating that his claim lacked “reasonable grounds” and had “no realistic prospect” of success in a full trial.
In a desperate attempt to retrieve his potentially huge windfall, which began after his partner threw away the vital hard drive a decade ago, he even offered to foot the bill for excavation through a team of experts while assuring no cost to taxpayers.
His plea fell on deaf ears, however, as environmental concerns were cited by authorities. Howells, adamant not to give up, has announced intentions to escalate the matter to the Supreme Court.
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Council refused to let him excavate computer equipment needed to unlock his 8,000 Bitcoins. (Image: SWNS)
The case thus far has seen intense debate as Howells described the legal challenge against Newport Council as his ‘last resort. ‘ His fight continues amidst the colossal crypto treasure remaining buried in waste.
James, who suffered a major setback when his council application to ‘strike out’ was granted, thwarting a potential two-week hearing, had generously vowed to donate ten per cent of any proceeds back to the local community.
However, this philanthropic gesture was met with scepticism by the council’s legal team, who labelled it a “bribe”.
Prior to the case, James expressed frustration at the council’s lack of cooperation, lamenting their missed chance to transform Newport into the UK’s answer to ‘Dubai or Las Vegas’.
He stated: “Despite being thrown out by my ex partner, which was a mistake and was without my permission or consent, I still own the intellectual digital property located on the hard drive.”
He further asserted his rights, saying: “I am either entitled to recover the property at full cost to myself or if the landowner refuses they it they pay me the value of my property.”
James yearned for a constructive dialogue, remarking: “I would much rather say let’s have a conversation and let’s dig and work together amicably – but they don’t want to know.”
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In December last year, Newport Council asked a High Court judge to strike out his legal action (Image: SWNS)
He highlighted the transformative potential of the funds, saying: “It is crazy money that could do so much good for the area.”
Despite his reluctance, James felt compelled to pursue legal action due to the council’s obstinate stance, adding: “The council lives in the dark ages. Newport could have looked like Las Vegas or Dubai if they had the foresight to engage. But they did not understand crypto currency and have refused to learn.”
“If they had spoken to me back then about investment in crypto the whole area – the whole of South Wales – could have profited from the rise. But they were not intelligent enough or willing to listen to do so.”
“I have continued to try and engage with them and they’ve rejected all communication with us.”
James said he had assembled a strong legal team and experts to fight the case.
He added: “In June this year I finally decided to take legal action against Newport Council – this is a last resort.”
“They have continued to ignore my reasonable requests so legal action is the only course I could take.”
“The assets are legally owned on their property. I am the owner of those and I have that legal right to retrieve my property.”
“I believe I can do so at no cost or impact to Newport Council – yet they continue to refuse any efforts to engage.”
“I’ve employed a team that have done multiple landfill excavations – all within environmental guidelines.”
“We also have AI experts that have the tech to make the job of finding the needle in the haystack that much easier.”
“I can carry out everything at no cost to the public.”
Lack of engagement forced James to take the court route (Image: SWNS)
James said although the claim is for around £500M he said all Bitcoin needs to do is hit £125k and it would break through the billion pound barrier.
Newport City Council said: “Newport City Council has been contacted multiple times since 2013 about the possibility of retrieving a piece of IT hardware said to be in our landfill site.”
“The council has told Mr. Howells multiple times that excavation is not possible under our environmental permit, and that work of that nature would have a huge negative environmental impact on the surrounding area.”
“The council is the only body authorised to carry out operations on the site.
“Mr. Howells’s claim has no merit, and the council is vigorously resisting it.”
Despite this, Mr Howells remains steadfast in his belief in his case and is prepared to take it all the way to the Supreme Court.