2 years ago
South Korean prosecutors person barred Haru Investment executives from traveling retired of the state pursuing transgression complaints of “serial suspending withdrawals” fraud, according to a Digital Asset June 25 report.
The prohibition affects unnamed executives from Haru Invest, Delio Chung Sang-ho’s CEO, and a B&S shareholder identified arsenic Bang.
Why question restrictions
The question prohibition is coming aft Haru Invest suspended withdrawals for users connected June 13, citing mendacious accusation from an unnamed consignment operator.
Investors were spooked aft the steadfast closed its bureau successful Seoul, with community members noting that the institution deleted its YouTube and LinkedIn profiles. These actions led to speculations of fraud and suspicions of a rug pull—a assertion viciously denied by the firm.
Meanwhile, its unnamed consignment relation has been revealed to beryllium the renewable vigor institution B&S Holdings. Its shareholder Bang was placed connected question restrictions aft prosecutors connected him to Haru’s transaction enactment suspension.
While Delio CEO Chung Sang-ho initially denied vulnerability to Haru, helium aboriginal confirmed that they deposited crypto assets successful the troubled firm. On June 14, the crypto lending level temporarily halted withdrawals to support customers’ assets.
South Korean investigators are reportedly investigating Delio for embezzlement and breach of duty.
Not a Rugpull
A erstwhile enforcement of Haru Invest and its co-founder, Eunkwang Joo, has defended the institution against insinuations of the rug pull.
In a June 13 Twitter thread, Joo said the issues astatine Haru were lone an interior problem, adding that “it is not a concern wherever they are maliciously trying to bash a rug pull.”
However, helium conceded that the firm’s closure of its societal media accounts without further authoritative communications would permission galore investors concerned.
Joo near the institution much than a twelvemonth ago.
Since suspending its withdrawal and deposit activities, the steadfast has laid off implicit 100 employees.
CryptoSlate has reached retired for remark from Haru Invest executives known to the company.
The station Haru Invest execs grounded successful South Korea amid fraud suspicions appeared archetypal connected CryptoSlate.
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