Hong Kong authorities charged 16 individuals, together with former lawyer and social media influencer Joseph Lam, in reference to the JPEX cryptocurrency scandal that allegedly defrauded greater than 2,700 traders out of HK$1.6 billion ($205.8 million).
The case is the biggest alleged monetary fraud in Hong Kong’s historical past, in accordance with police. Charges embrace conspiracy to defraud, fraudulently inducing funding and cash laundering, the South China Morning Publish reported.
Six of the accused are believed to be core members of JPEX’s operations. Seven others, together with Lam, are influencers or concerned in over-the-counter crypto buying and selling.
Authorities additionally stated Interpol issued purple notices for 3 fugitives, Mok Tsun-ting, Cheung Chon-cheong and Kwok Ho-lun, who’re believed to have performed central roles within the scheme. A purple discover is a request to find and provisionally arrest an individual pending extradition.
JPEX allegedly ran a crypto buying and selling platform and not using a license, deceptive traders whereas presenting itself as a official change. For the reason that case opened in September 2023, 80 individuals have been arrested and HK$228 million seized.
That is the primary time Hong Kong authorities have utilized the Anti-Cash Laundering and Counter-Terrorist Financing Ordinance to a crypto-related case. The 16 accused are scheduled to look in Japanese Courtroom on Thursday.
The case prompted Hong Kong chief John Lee to name for “doing more public education for investors to know the risks” and for a licensing regime within the territory.
