I've been hearing that the FBI and SEC are now investing Kraken as a big "inside-job" has happened during the update and all user funds have disappeared. This will be even bigger than the demise of Mt Gox.

Guys.... You should begin to accept that everything you have on Kraken has been lost and cannot be recovered as they even forgot to lock funds and even take blockchain snapshots.

In the unlikely event of Kraken ever coming online again, there will be a lot of panic withdrawals as nobody will ever trust them again. Kraken now face collapse regardless.