I believe it was credit card fraud. Someone reversed the cc transaction on him.
that is true.
and it is a strange story at best. because first of all he claims he was selling bitcoin off the market to some random dude using a reversible method which is the most famous method of fraud: credit cards.
the first question is why was he doing this? why not use an exchange like Coinbase/Gdax to sell his coins? was he evading taxes?
the second question is why is he now talking about it? usually when people trade off the market and p2p they don't want any traces be left from them, that is why I think it was tax evasion, in which case why is he now talking about it?!!!