The South Korean Supreme Court has sentenced a man to 10 years in prison for running a fraudulent cryptocurrency-trading operation. The man was found guilty of operating a bogus crypto-trading platform, which he had been using to defraud investors of up to 200 billion won ($153 million).
The 56-year-old defendant, identified by his surname Cho, was found guilty by the Supreme Court of fraud, breach of trust, and illegal business practices associated with his crypto-trading platform. The court also ordered him to pay a fine of 45 million won ($35,000) and return the 200 billion won to the victims of his scheme.
According to reports from local media, Cho operated a website that purported to offer cryptocurrency-trading services, but instead used the funds he’d collected from investors to make personal investments. He is also accused of manipulating trading prices on his platform to create the impression that its users were making substantial profits.
This isn’t the first time someone has been punished for operating a fraudulent crypto-trading platform. In 2018, the South Korean government had filed a criminal case against two individuals suspected of operating a similar platform, and both defendants were handed prison sentences of six and five years for their involvement in the fraud.