In today’s crypto news, we are going to Japan where a group of prosecutors are seeking a 10-year sentence for Mark Karpeles who is the former chief and executive officer of the now-bankrupt Bitcoin exchange Mt. Gox.
As a report from The Mainichi on Wednesday noted, the prosecutors claimed that Karpeles used customers’ funds for his own personal use while speaking to the Tokyo District Court.
According to the details, Karpeles reportedly transferred 341 million yen (approximately $3 million) of his customers’ money kept in a bank account to his personal account from September to December 2013, as a court indictment stated. The cash was taken for uses such as “investing in software development business for personal interest.”
On top of this, the authorities are accusing Karpeles of manipulating the data on the Mt. Gox trading system, fabricating fake balances and playing a great role in the destroyance of the market and “the confidence of Bitcoin users.”
In 2017, Karpeles pleaded not guilty in the court to the charges of embezzlement and data manipulation and denied all the allegations. Later in April this year, he apologised for the company’s bankruptcy and stated:
“I never imagined things would end this way and I am forever sorry for everything that’s taken place and all the effect it had on everyone involved.”
Mt. Gox filed for liquidation in April 2014 after claiming to have been hacked for around 850,000 Bitcoin, some of which was later found.
Ex-CEO Of Crypto Startup AriseBank Pleaded Guilty Of Defrauding Investors For $4.2 Million
“We will not tolerate flagrant deception of investors – virtual or otherwise.”This kind of a plea deal Rice agreed to with Cox is one of the first of its kinds in the US Federal Court that includes crypto companies. Rice pleaded guilty on security fraud charges after he admitted that he lied potential investors into investing hundreds of dollars. Rice was found guilty of scamming investors into buying his AriseCoin cryptocurrency which claimed to bring ‘’no-risk returns.’’ Investors placed their money right into Rice’s scam net and invested more than $4,250,000 in BTC, ETH, and LTC, into the ICO that was supposed to provide them with the AriseCoin. He also claimed that he raised $600 million in an ICO which later turned out to be false. The US Attorney’s Office stated:
“Mr. Rice quietly converted investor funds for his own personal use, spending the money on hotels, food, transportation, a family law attorney, and even a guardian ad litem – facts he failed to disclose to investors.’’AriseBank was named as the best-decentralized bank by Rice and he claimed that the crypto bank will provide the customers ‘’FDIC-insured accounts and transactions’’ which the United States Securities and Exchange Commission turned out to be false. He also claimed that his bank supports Visa card payments and that the platform supports hundreds of virtual currencies. AriseBank was not authorized for providing banking services in the state of Texas. Rice is now obliged to repay the investors who lost their money and he is also facing twenty years in prison if he gets sentenced in July. Initially, he was facing up to 120 years in federal prison.
QuadrigaCX Co-Founder Was Involved In Criminal Activities In The Past
Boston Legal System Damaged After BTC Ransomware Attack
“CPCS’s computer systems have been attacked and are not working properly. We are still representing clients. In addition, there is no evidence that confidential information from clients has been released as a result of these attacks.”Initially, the attack happened on February 27. The organization believed that paying the ransom means a waste of money so they decided to restore the systems manually. Two weeks after, the entire justice system in Boston can feel the damaging effects. The agency cannot really say how long the delay will last or when they will get back online. In the meantime, people working in the agency cannot use their email or enter the agency’s website. Ransomware attacks became popular in 2015. The attackers mainly targeted police agencies that end up paying the ransom. The public infrastructure is always a target of ransomware attackers since the offer public services and cannot end up being crippled because the people are the ones who pay the higher price. The public defenders didn’t say how much money the attackers demanded. However, the cost to unlock a computer could start from $100 up to thousands of dollars. The attackers usually target victims individually but law enforcement agencies or other government agencies are not excluded. Last year, a couple of Dutch hackers were sentenced to community service after attacking more than 1,000 computer systems and gathering over $11,000.
Thieves Steal $200k Worth Of Bitcoin (BTC) Across 7 Canadian Cities
Join us on Facebook
- Bitcoin Drops In Rating According To CCID, What’s The Reason Behind It?
- Key Technical Indicators Show That BTC Could Surge Up To $5,500: Analysis
- Binance Announces Major Changes To Launchpad Token Sale Format
- Central Bank Of France Won’t Be Issuing Its Own Digital Currency: PwC Executive
- Twitch Apparently Removed Bitcoin (BTC) And Bitcoin Cash (BCH) As Payment Options
UPCOMING EVENTS RECOMMEND BY DC FORECASTS
Blockchain News3 days ago
Postal Carrier Giant UPS Rolls Out A Blockchain Platform For Merchant Supply Chains
Uncategorized4 days ago
Facebook Is Looking For Senior Lawyer With Blockchain (Payments) Experience
Blockchain News2 days ago
Latin E-Commerce Giant Mercado Livre Bans Cryptocurrency Ads On Their Website
Altcoin News3 days ago
USDT-TRON Stablecoin Is Going To Be Listed On OKEx
Bitcoin News5 days ago
Binance: Australians Can Now Buy Bitcoin With Cash From 1,300+ High-Street Stores
Bitcoin News5 days ago
Binance Enables Australian Users To Buy BTC At 1,300 Newsstands
Analysis3 days ago
Bitcoin Goes Below And Above $4,000 Again: What’s Causing This Fluctuation?
Blockchain News22 hours ago
VISA Is Getting In Crypto And Looking For A Blockchain Developer Hero