South Korean district attorneys demand arrest warrant for Bithumb owner: Report

According to regional news outlet Infomax, South Korean district attorneys asked for an arrest warrant on Jan. 25 for Kang Jong-Hyun, chairman and owner of cryptocurrency exchange Bithumb. Kang is desired on accusations of embezzlement associated to his activities at the exchange.

The exact same day, the Financial Examination second Department of the Seoul Southern District District attorney’s Workplace sentenced Kang and 2 Bithumb executives on charges of embezzlement and breach of trust under the Act upon the Aggravated Penalty of Particular Financial Criminal Activities. The executives were likewise charged with performing deceitful unlawful deals under the Capital Markets Act.

Cointelegraph formerly reported on Jan. 10 that Bithumb was put under a “unique tax examination” by the nation’s National Tax Service. Synchronised to the occurrence, Kang is under examination over his function in apparently controling the stock costs of Bithumb affiliates Inbiogen and Pail Studio through the issuance of convertible bonds. Vidente is presently the biggest investor of Bithumb, with a 34.2% stake.

On Dec. 30, 2022, Bithumb’s biggest investor, Park Mo, was discovered dead in front of his own house following examinations into his supposed function in embezzling funds from Bithumb-related business. It is thought that Mo might have taken his own life due to the nature of the criminal accusations brought versus him.

Subsequent to the advancement, Lee Jung-Hoon, previous chairman of Bithumb, was discovered not guilty of a $70 million scams charge concerning his activities at Bithumb. The exchange is among South Korea’s biggest, with a 24-hour trade volume of $467 million.