Newport man who threw out £569m of Bitcoin sues the council

James Howells, 39, is gearing up for court action against a council that has refused to let him find computer equipment needed to unlock his 8,000 Bitcoins.

The costly error a decade ago saw his then partner throw away a black bin bag containing the drive he needed to gain access to his Bitcoin stash.

It has since laid in a rubbish tip run by Newport Council in Wales and he has spent years fighting for the right to retrieve it.

James said this week he has now taken the 'last resort' instigating court action against the council - with a first hearing on an application from the authority to 'get it thrown out' scheduled for early next month.

His 'lost' fortune at today's prices make his Bitcoin worth £569m and he has pledged to donate ten per cent of proceeds back to the local area.

James said: "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.

"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.

"Should I be successful in defeating the 'throw out' application' I will be proceeding within three to six months with a full two week court case.

"The current valuation is more than £500M. When it hits £125k per coin it hits £1B. It is crazy money that could do so much good for the area."

If his team are eventually allowed in he said the final haul would be split between expert recovery teams, businesses and investors.

"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," said James.

"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.

"The assets are legally owned on their property. I am the owner of those and I have that legal right to retrieve my property.

His belongings are said to be in this landfill site. (Image: SWNS) "I've employed a team that have done multiple landfill excavations - all within environmental guidelines.

"I can carry out everything at no cost to the public. We are confident we have all the evidence to defeat the strike out application.

"The council has just been antagonistic the whole way through. Our team of experts say the data is recoverable. They don't believe that but they are not qualified to make that judgement.

"This is something that could really benefit the whole area. Legal action is the only route open to us now."

A spokesperson for 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."