Taiwan indicts new suspects in fraud – Report
The saga of the JPX cryptocurrency exchange continues to develop, with Taiwanese prosecutors reporting new suspects.
The Taipei District Prosecutor's Office (TDPO) has requested the arrest of Chang Tung Ying, the main partner of JPX's office in Taiwan, on fraud charges, local TV station TVBS News reported on November 9.
Taipei prosecutors searched nine locations linked to the JPX investigation and summoned Chang and three other suspects. Authorities said Chang and JPX lecturer Shih Yu-sheng (also known as Shi Yu) are suspected of violating the Banking Act and the Money Laundering Control Act.
Other defendants, including JPEX sellers Liu Chin-fu and Niu Keng-sheng, were acquitted. According to the report, Liu was released on 50,000 New Taiwan dollar ($1,550) bail, while Niu, the registered head of JPX Taiwan, was released after questioning.
Taiwanese celebrity and singer Nine Chen, who once represented JPEX as a brand ambassador, has also been subpoenaed by prosecutors, according to the report. Prosecutors are said to have named Nine Chen as a defendant after first calling him to testify.
Once a successful crypto exchange, JPEX abruptly stopped some services in mid-September 2023, citing liquidity problems caused by “unfair treatment” from several institutions in Hong Kong. The sudden implosion fueled allegations that JPEX had applied for a crypto trading license to mislead investors, among other issues.
Related: JPEX scandal won't hurt Hong Kong's crypto vision Finance Secretary
JPEX quickly became the center of a major scandal in the industry. Hong Kong authorities launched an investigation after receiving more than 2,000 complaints from JPEX users about losses of nearly $180 million. The JPX implosion has become a concern of financial regulators in Hong Kong, Taiwan and other countries, with many authorities similarly taking new measures to protect investors from losses.
As of September 25, law enforcement agencies have arrested at least 11 suspects in the JPX case, and the alleged masterminds are still at large.
Magazine: Bitmain's Revenge, Hong Kong's Crypto Rollercoaster: Asia Express
