TLDR
- Influencer Chu Ka-fai faces four complete costs in the ongoing JPEX crypto fraud case.
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He allegedly laundered HK$18.78M all the way via four digital bank accounts.
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The case, intriguing over $206M in losses, affects 2,700+ traders.
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Court docket proceedings will hotfoot to District Court docket; subsequent listening to is March 27.
Authorities in Hong Kong have filed extra costs in a single of the town’s most intensive cryptocurrency fraud investigations. Prosecutors added three more counts of cash laundering against influencer Chu Ka-fai, veritably identified as “Mr. Zhu,” tied to the collapsed JPEX alternate.
The amended costs had been announced during a court session at the Jap Magistrates’ Court docket on January 2. Prosecutors claim that between November 2020 and August 2023, Chu laundered roughly HK$18.78 million all the way via accounts at ZA Monetary institution, Mox Monetary institution, Livi Monetary institution, and WeLab Monetary institution.
He is now charged with a complete of four counts of cash laundering and stays on bail as the case advances to a increased court.
JPEX Exchange Case Transferred to District Court docket
As a result of the seriousness of the case and the volume enthusiastic, the Department of Justice has confirmed plans to hotfoot the proceedings to the District Court docket. Justice of the Peace Lam Tsz-kang adjourned the case till March 27 to allow time for the preparation of apt switch documents.
The prosecutors inform that Chu either knew or must have identified the funds had been proceeds from prison screech. Irrespective of this, they are saying he persevered to take care of and switch the funds over a interval of nearly three years.
The decision to escalate the case aligns with increased enforcement against unlicensed cryptocurrency platforms working with out appropriate registration in Hong Kong.
Fragment of a Wider Investigation Into JPEX Fraud
The costs against Chu are a part of a broader investigation into the cave in of the JPEX crypto trading platform. Authorities think regarding the platform defrauded over 2,700 traders, resulting in bigger than $206 million in complete losses.
JPEX turn out to be once no longer licensed to operate in Hong Kong. Then again, it historical on-line influencers, at the side of Chu and others, to promote its products and services and entice traders. Police have made bigger than 80 arrests in connection with the case.
Sixteen of us, at the side of public figures and net personalities, were formally charged. Interpol has additionally issued purple notices for three suspects believed to have left Hong Kong.
Enforcement Tightens Against Unlicensed Crypto Promotion
The JPEX case has introduced on Hong Kong regulators to step up scrutiny of crypto promotions. The Securities and Futures Commission had warned the general public regarding the platform earlier than its cave in, citing exaggerated return guarantees and misleading licensing claims.
Officers declare the platform’s advertising technique heavily relied on social media promotion, elevating concerns over influencer accountability. Authorities proceed to music linked activities and overview others tied to the case.
Kelvin Munene is a crypto and finance journalist with over 5 years of experience in market diagnosis and skilled commentary. He holds a Bachelor’s diploma in Journalism and Actuarial Science from Mount Kenya University and is identified for meticulous research in cryptocurrency, blockchain, and monetary markets. His work has been featured in top publications at the side of Coingape, Cryptobasic, MetaNews, Coinedition, and Analytics Insight. Kelvin makes a speciality of uncovering rising crypto traits and handing over knowledge-pushed analyses to relief readers construct suggested decisions. Out of doors of labor, he enjoys chess, touring, and exploring unusual adventures.
