Link Global, a Canadian bitcoin mining operator, is facing a fine of up to $ 7 million for setting up a power plant to run its mines without government permission. The company has set up several power plants without following the legal process and has complained that if the fines are enforced, it will hurt its finances.
Link Global Facing Heavy Fines
A Canadian bitcoin mining operator could be fined up to $ 7 million after starting mining at a power plant in Alberta without government permission. Link Global began operations by installing four gas generators at a site in Sturgeon County near Edmonton in Alberta and another mine at Kirkwall. According to the report, none of these sites complied with the rules of the Alberta Utility Commission.
The lawsuit was settled out of court when neighbors complained about the noise made by the sites. Authorities notified the company earlier this year, August 25, that it had not complied with their requirements and shut down the activities of the two mining sites involved. Each site has been working in this condition for more than a year.
Two types of fines, the CEO assures shareholders
The Alberta Utilities Commission divides the proposed penalty into two main parts: the first relates to the benefits available for power generation. The company claims that the damage in this case is two million dollars. The other part relates to the benefits of using this power to mitigate bitcoin. This amount is estimated to be five million.
Link is fighting global fines, explaining that they are not based on the company’s actual financial report. It is now relocating these bitcoin mining operations, in line with current regulations. Stephen Jenkins, CEO of Link Global, announced to local media:
Link has followed the order issued by the AUC and believes that what the enforcement staff is proposing is punitive … I apologize to our shareholders who do not deserve it. We will work tirelessly to ensure that the results are positive.
The company and its shareholders, who are in the process of building two new bitcoin mines in the region, will have to wait until October 14, where a decision on their fate and guaranteed fines will be made.
What do you think about Alberta’s control of the power plant? Tell us in the comments section below.
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