Bitwise Industries faces mounting financial and legal troubles.

Bitwise, a tech company, allegedly owes $6 million to an investor for a loan it took out to repay its tax refund check. The company sold its $6.1 million in tax credits to an investor, 1861 Acquisition, in exchange for a fee. Bitwise deposited the checks from the IRS into its bank account, violating its contract with the investor. The investor filed a lawsuit against Bitwise, and a judge froze its bank accounts. A settlement was reached, with Bitwise promising to pay back the $6 million it owed, plus nearly $200,000 in interest.