The German financial solutions provider that was recently in the news for misappropriation of funds and fraud running up to the tune of $2.3 billion dollars, OYOGist.com reports.
Last week, OYOGist.com brought the news of how German company, Wirecard AG, couldn’t come up with an explanation for how $2.3 billion dollars went missing in its accounts. The CEO and founder of the company resigned a day after the announcement.
On Thursday, the company filed for insolvency, forcing regulators to order financial providers that rely on the company to freeze all their customers’ funds.
The collapse of the financial payments service giant means the FinTech industry is scrambling to provide answers to their numerous customers, while observing instructions from regulators.
Payoneer, one of Wirecard’s clients, announced on Friday that funds in the Payoneer Prepaid Mastercard issued by Wirecard would be temporarily frozen effective immediately.
However, the payment service provider (Payoneer) said its customers would still be able to withdraw their funds through alternative means, such as through their bank accounts.