Prosecutors Raid Delio Office After Sudden Suspension of Coin Withdrawals

The prosecution conducted a search and seizure of the cryptocurrency deposit company Delio, which suspended cryptocurrency deposits and withdrawals without prior notice to customers. Following Haru Invest, another cryptocurrency deposit company, Delio also halted deposits and withdrawals, and it appears that a forced investigation has begun in connection with the chain suspension of deposits and withdrawals.

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On the 18th, the Financial Investigation Division 1 of the Seoul Southern District Prosecutors' Office (Chief Prosecutor Chae Hee-man) announced that they were conducting a search and seizure of Delio's offices in Gangnam and Bundang from the morning. On the 13th and 14th, they also searched the offices of Haru Invest and its partner B&S Holdings, securing accounting and computer data related to the chain suspension of deposits and withdrawals.

Delio suspended cryptocurrency deposits and withdrawals made by customers on the 14th of last month. It is known that Delio entrusted some customer funds to Haru Invest. However, problems arose with B&S Holdings, a quant trading team engaged in high-risk, high-return investments where Haru Invest had placed customer funds, leading Haru Invest to decide to suspend deposits and withdrawals. The day after Haru Invest's decision, Delio also suspended deposits and withdrawals.

Delio is a domestic cryptocurrency deposit company that offers up to 10.7% annual interest on deposited cryptocurrencies. In February of last year, it received approval as a Virtual Asset Service Provider (VASP) from the Financial Intelligence Unit (FIU). According to Delio's website, the total cumulative transaction volume (TVU) of Bitcoin is 41,751 units. However, the exact scale of deposits and losses has not been disclosed.

The prosecution did not specify the exact charges against Delio and Haru Invest in relation to this search and seizure. After the suspension of deposits and withdrawals, investors of Delio and Haru Invest filed a complaint with the prosecution through the law firm LKB & Partners, accusing the company executives of fraud under the Act on the Aggravated Punishment of Specific Economic Crimes.

This content was produced with the assistance of AI translation services.