BitCoin CEO Arrested

[Asclepias]

Bitcoin exchange CEO arrested for money laundering - Jan. 27, 2014

 

[R.C. Christian]

How dare he threaten the fiat currency.

 

[The2ndAmendment]

The Banksters are out to get him, this is his first warning, after this he'll "die of natural causes."

 

[waltky]

Beware of shady bitcoin outfits...

Prosecutors file charges against ex-CEO of Mt.Gox bitcoin exchange
12 Sept.`15 - Japanese prosecutors have filed charges against Mark Karpeles, the former head of defunct bitcoin exchange Mt. Gox, accusing him of stealing $2.7 million of clients' money, media reported.

The French-born Karpeles, 30, was arrested last month in connection with the disappearance of hundreds of millions of dollars worth of the virtual currency. The charges, which were filed on Friday, said Karpeles embezzled total 321 million yen ($2.66 million) by transferring clients' funds deposited at Mt.Gox's bank account to other accounts, Jiji reported.

Mark Karpeles attends a news conference at the Tokyo District Court in Tokyo

The prosecutors' office was not available for comment. The money was spent on buying computer software development rights and an expensive custom-built bed, Jiji said, quoting sources familiar with the matter. Karpeles was suspected of falsifying data on the outstanding balance of the exchange, at one point the world's largest hub for trading the digital currency, Japanese media reported at the time of his arrest.

Karpeles has denied the charges, telling investigators the data falsification was done for the company and he had intended to pay back the money, Yomiuri reported Saturday, citing sources involved in the investigation.

Prosecutors file charges against ex-CEO of Mt.Gox bitcoin exchange

 

[waltky]

US Prosecutors want to confiscate $8.5M in Seized Bitcoin...

US Prosecutors Move to Cash in on $8.5M in Seized Bitcoin
December 15, 2017 — U.S. attorneys in Utah prosecuting a multimillion-dollar opioid drug-ring are moving quickly to sell seized bitcoin that’s exploded in value to about $8.5 million since the alleged ringleader’s arrest a year ago.

The U.S. Attorney’s Office for Utah cites the digital currency’s volatility in court documents pressing for the sale. The bitcoin cache was worth less than $500,000 when Aaron Shamo was arrested on drug charges, but the value of the digital currency has skyrocketed since then. Bitcoin was created as a digital alternative to the traditional banking system, and is prone to swings in value based on what people believe its worth. For federal prosecutors in Utah, sales of seized assets like cars are routine, but bitcoin is new territory, spokeswoman Melodie Rydalch said Thursday.

Shamo is accused of selling pills containing the powerful opioid fentanyl on the dark web — an area of the internet often used for illegal activity — to thousands of people all over the U.S., at one point raking in $2.8 million in less than a year. The 500,000-pill bust ranked among the largest of its kind in the country, and authorities also found $1 million of cash stuffed into trash bags. Shamo has pleaded not guilty to a dozen charges.

This undated photo provided by the Weber County Sheriff's Office shows Aaron Shamo, 27, who was arrested at his home in Cottonwood Heights, Utah and charged with running a multimillion-dollar opioid drug ring.​

The proceeds of the bitcoin sale will be held until the case is resolved, and then decisions will be made about where the money goes, Rydalch said. Seized asset sale proceeds usually goes to the agency that investigated, like the Drug Enforcement Administration. Defense attorney Greg Skordas is not contesting the sale of his client’s bitcoins. Although there’s no global consensus over the status of bitcoin — debate rages whether the virtual money is an asset or a currency — that hasn’t stopped officials in the U.S. and elsewhere from cashing in on the digital hauls seized from cybercriminals.

In 2014 the U.S. Marshals Service announced the auction of nearly 30,000 bitcoins seized from notorious dark web drug marketplace Silk Road. Other seizures have since netted the American government millions of dollars in a series of sales. Other governments — from Australia to South Korea — have set up similar auctions over the years.

US Prosecutors Move to Cash in on $8.5M in Seized Bitcoin