CEO Sentenced to 18-Month Jail Term for Accepting Bitcoin Bribes to List a Cryptocurrency

A South Korean court docket has sentenced the worn CEO of the defunct crypto alternate Coinnest to 18 months in penal complex. The court docket also fined him over $61,000, who also used to be charged for fraud in 2020.

Prosecutors Accused Coinnest Executives of Receiving 110 BTC in Bribes

In step with Fn Files, the Supreme Court docket of Korea obvious that Kim Ik-hwan must peaceable express time in penal complex, because the authorities previously indicted him in 2018 for accepting bitcoin (BTC) bribes.


The investigation unveiled that he and other executives obtained nearly $771,270 fee of BTC (at the time) for arranging the listing of an unnamed altcoin — referred to by the court docket as “S” coin.

On the different hand, the worn Coinnest CEO and its worn working director, Jo Mo, claimed there used to be “no unfair solicitation.” The prosecutors commented within the first trial:

The defendants acknowledged or promoted the distress that they had been taking unreasonable positive factors by manipulating the market tag on the alternate after listing the cryptocurrency. (…) This crime greatly undermined equity and trust in cryptocurrency transactions. That is unhealthy.

Despite the truth that the Supreme Court docket, chaired by regain Noh Jeong-hee, didn’t repeat primary parts on the “S” coin, prosecutors stated the altcoin used to be issued by K Group.

The prosecution also accused Coinnest’s executives of receiving 110 BTC in bribes for the purpose. Jo Mo’s sentence is peaceable pending affirmation by the Supreme Court docket.

Susceptible Coinnest’s CEO Court docket Historical past

The worn CEO of the now-defunct crypto alternate has additional sentences on his CV. Alongside two unnamed executives, Kim used to be found responsible in February 2020 of fraud and embezzlement.

A South Korean court docket gave him a three-year penal complex sentence, however it used to be suspended for four years. Furthermore, the appeals court docket sentenced Kim to pay a $2.5 million won ideal, and moreover abet 100 hours of community carrier.

The regain dominated that Kim and the different executives misappropriated “billions” of won, transferring shopper funds to employee accounts. Within the intervening time, the executives denied any wrongdoings.

Coinnest closed its crypto alternate operations in April 2019.

What elevate out you possess about this sentence? Let us know within the comments portion below.

Image Credits: Shutterstock, Pixabay, Wiki Commons

Location-markets for Bitcoin, Bitcoin Cash, Ripple, Litecoin and extra. Delivery your shopping and selling right here.

Leave a comment