South Korean authorities on Wednesday indicted over two dozen people associated with a cryptocurrency operation for their involvement in a multimillion dollar scam. The large-scale fraud scheme was being run by Mining Max, a cryptocurrency company that has a mining farm in Seoul.
The suspects, which include the company’s chairman and vice chairman, are accused of embezzling about $250 million from 18,000 investors in 54 countries, including the United States, South Korea, China and Japan. Many people were indicted on embezzlement charges but were not detained and some top investors, are on the run and have been put on an Interpol wanted list.
Prosecutors also believe only about $80 million of the investors' money was spent on buying equipment to mine cryptocurrency with the rest of it being used by the management for personal enrichment or to reward the top investors. About $110 million is thought to have been stashed in offshore bank accounts.