From landfill to lawsuit: James Howells’ quest to reclaim lost Bitcoin
2024-10-16

James Howells, the British man who famously lost his Bitcoin-filled hard drive in a Newport landfill over a decade ago, has filed legal action against Newport City Council after years of unsuccessful attempts to retrieve the device. 
On Oct. 12, WalesOnline reported that Howells is seeking damages or permission to excavate the landfill to recover the hard drive, which holds 8,000 Bitcoin BTCUSD, now valued at over $647 million.
The legal action, which has garnered international attention, comes after years of repeated refusals by the Newport City Council to allow Howells to search for his hard drive.
Howells claims his latest efforts to engage in negotiations with the council in a “friendly and professional” manner were rejected, leaving him no choice but to proceed with legal action.
Howells’ argument
In exclusive comments given to Cointelegraph, Howells expressed frustration over the council’s refusal to meet with him, emphasizing his attempts to resolve the matter amicably: 
“Unfortunately, by neglecting to engage in good faith, the council has left me little choice but to issue proceedings against them,” he explained. 
Howells believes the council’s environmental concerns — cited as the primary reason for denying his excavation request — are unfounded. 
Howells claims to have provided multiple rebuttals to the council’s position, stating that Newport City Council has allegedly breached environmental regulations in recent years. He says this is backed by “100% independently verified evidence.”
According to Howells, his proposed excavation and remediation process would not only retrieve the hard drive but also clean up the toxic landfill site at no cost to the council or taxpayers. 
Howells said he has contracted FLI Group — a company that specializes in landfill remediation — to manage the project. “FLI Group has remediated multiple landfills throughout the United Kingdom, including a project in Merthyr Tydfil. They are well-versed in environmental regulations and have a proven track record of successful landfill remediation,” he said.
Understanding UK laws
Howells said that under UK law, Bitcoin and other digital assets are classified as personal property, giving him the right to retrieve his lost hard drive. 
“The physical hard drive itself is worthless. However, the digital property, the intellectual property (the private key data) is what is valuable,” he said.
City council responds
Newport City Council, however, has stood firm in its stance. 
A statement issued on Oct. 11 and shared with Cointelegraph by a council spokesperson reiterated its position that excavation of the landfill is not possible under current environmental permits: 
The council dismissed Howells’ references to environmental compliance issues as an attempt to distract from what it calls a “fundamentally weak claim.” The statement added that responding to Howells’ repeated requests has cost the council and taxpayers time and money that could be better spent on local services.
“Our monitoring and reporting regime is not related to Mr. Howells’ claim, and we believe the mention of it is nothing more than an attempt to draw attention away from a fundamentally weak claim, which we are vigorously resisting,” the spokesperson added. 
The council remains the only body authorized to carry out operations on the landfill site and insists the risks associated with excavation far outweigh any potential benefits. 
Legalities ahead
Howells’ case will be heard in court on Dec. 3, when a judge will decide whether Newport City Council must allow him access to the landfill or compensate him for the value of the lost Bitcoin. 
Howells remains hopeful for a favorable outcome, citing his legal right to retrieve the digital property as his strongest argument.
“My situation has not changed my views on cryptocurrencies,” Howells said. 
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