The drama over alleged fraud involving Bithumb’s senior executives continues as the corporate’s chairman has reportedly been summoned for interroga
The drama over alleged fraud involving Bithumb’s senior executives continues as the corporate’s chairman has reportedly been summoned for interrogation.
The Seoul Metropolitan Police Company is purportedly in search of to query Lee Jung-hoon, chairman of board at Bithumb Korea and Bithumb Holdings, in response to a Sept. 18 report by South Korea’s state-run information company Yonhap.
As reported, Lee is allegedly accused of a number of fraud and embezzlement offenses concerning the failed itemizing of the BXA token. The purported fraud brought on investor damages of as much as 30 billion gained ($25 million), the report notes. The police are additionally reportedly seeking to query Lee over alleged embezzlement of traders’ funds in abroad property purchases or offshore investments.
In response to Yonhap, Kim Byung-gun, one other chairman at Bithumb, is accused of being concerned within the BXA fraud alongside Lee. Nonetheless, the police haven’t but initiated an investigation towards Kim.
The most recent information comes shortly after Seoul police reportedly seized a lot of shares in Bithumb Holdings belonging to Lee. The exec reportedly failed to accumulate Bithumb, and has been sued within the course of.
As reported by Cointelegraph, native police performed two raids on Bithumb’s places of work in connection to the alleged fraud in September.
Bithumb has not responded to any of Cointelegraph’s requests for remark.