JPEX Saga Deepens with Emergence of New Suspects


The
controversy surrounding the collapsed cryptocurrency exchange JPEX, has taken a
new turn as Taiwanese prosecutors identify fresh suspects in the ongoing
investigation. The Taipei District Prosecutors Office (TDPO) has reportedly
requested the detention of Chang Tung-ying, the Chief Partner at JPEX’s Taiwan
office, over allegations of fraud, according to local TV channel TVBS News.

Authorities
executed searches at nine locations linked to the JPEX investigation, summoning
Chang and three other individuals, including JPEX lecturer Shih Yu-sheng, on
charges of violating the Banking Act and the Money Laundering Control Act. JPEX
salespersons Liu Chien-fu and Niu Keng-sheng were released: Liu was granted
bail of 50,000 new Taiwan dollars ($1,550); Niu, registered as a person
in charge of JPEX Taiwan, was released after questioning.

The
report additionally highlighted the involvement of Nine Chen, a Taiwanese celebrity, who
was summoned by prosecutors. Initially called to testify as a witness,
prosecutors subsequently named Nine Chen as a defendant in the case. In a tweet from JPEX’s official
X account back in 2022, Nine Chen was announced as their brand ambassador.

JPEX
faced a sudden halt in some services in mid-September 2023, citing a liquidity
crisis allegedly triggered by “unfair treatment” from institutions in
Hong Kong. The abrupt collapse led to accusations of misleading investors about
having applied for a crypto trading license.

Hong
Kong authorities launched an investigation following over 2,000 complaints from
JPEX users, reporting losses nearing $180 million. The scandal has raised
concerns among financial regulators in Hong Kong, Taiwan, and other jurisdictions.

As
of September 25, law enforcement has detained at least 11 suspects in the JPEX
case, while the alleged masterminds remain elusive, heightening the complexity
of the investigation. The JPEX
saga has continued to ring across the cryptocurrency industry, serving as a
cautionary tale for investors and regulators alike.

Gaps
in Hong Kong’s Regulatory Framework

Hong
Kong’s Securities and Futures Commission (SFC) has introduced new measures

aimed at protection for retail investors following the JPEX crypto exchange
debacle, Finance Magnates
reported. The initiatives, announced in response to vulnerabilities exposed in
the city’s regulatory framework for virtual assets, focus on transparency,
raising public awareness, and tightening regulations surrounding crypto trading
platforms.

The SFC plans to publish a list of
licensed Virtual Asset Trading Platforms on its website, covering
existing platforms, those in the application process, and entities facing
closure or suspicion. The SFC is launching a public campaign
to educate individuals on safeguarding against fraud, signaling a commitment to
investigating and prosecuting illegal platforms while intensifying intelligence
efforts related to virtual assets.

The
controversy surrounding the collapsed cryptocurrency exchange JPEX, has taken a
new turn as Taiwanese prosecutors identify fresh suspects in the ongoing
investigation. The Taipei District Prosecutors Office (TDPO) has reportedly
requested the detention of Chang Tung-ying, the Chief Partner at JPEX’s Taiwan
office, over allegations of fraud, according to local TV channel TVBS News.

Authorities
executed searches at nine locations linked to the JPEX investigation, summoning
Chang and three other individuals, including JPEX lecturer Shih Yu-sheng, on
charges of violating the Banking Act and the Money Laundering Control Act. JPEX
salespersons Liu Chien-fu and Niu Keng-sheng were released: Liu was granted
bail of 50,000 new Taiwan dollars ($1,550); Niu, registered as a person
in charge of JPEX Taiwan, was released after questioning.

The
report additionally highlighted the involvement of Nine Chen, a Taiwanese celebrity, who
was summoned by prosecutors. Initially called to testify as a witness,
prosecutors subsequently named Nine Chen as a defendant in the case. In a tweet from JPEX’s official
X account back in 2022, Nine Chen was announced as their brand ambassador.

JPEX
faced a sudden halt in some services in mid-September 2023, citing a liquidity
crisis allegedly triggered by “unfair treatment” from institutions in
Hong Kong. The abrupt collapse led to accusations of misleading investors about
having applied for a crypto trading license.

Hong
Kong authorities launched an investigation following over 2,000 complaints from
JPEX users, reporting losses nearing $180 million. The scandal has raised
concerns among financial regulators in Hong Kong, Taiwan, and other jurisdictions.

As
of September 25, law enforcement has detained at least 11 suspects in the JPEX
case, while the alleged masterminds remain elusive, heightening the complexity
of the investigation. The JPEX
saga has continued to ring across the cryptocurrency industry, serving as a
cautionary tale for investors and regulators alike.

Gaps
in Hong Kong’s Regulatory Framework

Hong
Kong’s Securities and Futures Commission (SFC) has introduced new measures

aimed at protection for retail investors following the JPEX crypto exchange
debacle, Finance Magnates
reported. The initiatives, announced in response to vulnerabilities exposed in
the city’s regulatory framework for virtual assets, focus on transparency,
raising public awareness, and tightening regulations surrounding crypto trading
platforms.

The SFC plans to publish a list of
licensed Virtual Asset Trading Platforms on its website, covering
existing platforms, those in the application process, and entities facing
closure or suspicion. The SFC is launching a public campaign
to educate individuals on safeguarding against fraud, signaling a commitment to
investigating and prosecuting illegal platforms while intensifying intelligence
efforts related to virtual assets.





Source link

Leave a Reply

Your email address will not be published.