South Korean prosecutors are charging the previous head of a serious crypto change with fraud price almost $70 million.
In accordance with a report from the South Korean information outlet Yonhap Information Company, state prosecutors have requested for eight years in jail for Lee Jung-hoon, the previous head of Bithumb.
Says the South Korean prosecutors,
“The quantity of harm could be very giant, and the harm is very nice for atypical coin traders.”
Lee is being charged with stealing $70 million from BK Group chairman Kim Byung Gun throughout negotiations over a deal that will have resulted in Kim proudly owning Bithumb Holdings.
The fees focus on a $70 million contract payment, paid upfront with sure caveats. The contract payment stipulated {that a} so-called ‘Bithumb Coin,’ which later got here to be referred to as the Blockchain Alternate Alliance (BXA) token, could be listed as a part of the deal. However when Bithumb by no means listed BXA, the deal fell via, which is when the alleged fraud occurred, in response to South Korean prosecutors.
Lee’s lawyer reportedly stated in court docket,
“The construction of this case is a typical inventory sale contract…
Bithumb was the primary change in Korea on the time of sale.
I’m very sorry for making it troublesome for workers and inflicting social stress.”
The sentencing for the case will likely be carried out on December twentieth.
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