'1 Trillion Won Cryptocurrency Withdrawal Suspension' HaruInvest Management Arrested

False Advertising of 'Risk-Free Diversified Investment' with 'All-in-One' Investment in a Specific Individual
Embezzlement of 1 Trillion Won from Over 16,000 Customers

Three individuals, including the CEO of the virtual asset deposit platform HaruInvest, were arrested on charges of embezzling approximately 1 trillion KRW from about 16,000 customers by falsely advertising that they were "operating stably" while investing most of the coins in a specific individual.

On the 6th, the Joint Investigation Team for Virtual Asset Crimes of the Seoul Southern District Prosecutors' Office (Head Lee Jeong-ryeol) announced that from March 2020 to June 2023, they arrested three people: co-CEOs of HaruInvest, Mr. A (44) and Mr. B (40), and the business general manager Mr. C (40), on charges of embezzling virtual coins worth approximately 1.1 trillion KRW from about 16,000 customers.

[Image source=Yonhap News]

According to the prosecution, they are accused of falsely advertising to customers that they were operating "stably using a risk-free diversification investment method" while investing most of the deposited coins in a so-called "all-in investment" to a specific individual.

Subsequently, in June of last year, they suspended the virtual asset deposit and withdrawal services and are currently undergoing rehabilitation procedures.

A prosecution official stated, "We will thoroughly investigate the facts through the arrest investigation and do our best to restore the victims' damages and recover the criminal proceeds."

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