Prosecutors in Hong Kong’s JPEX fraud case have been granted permission to adjourn the case until next year so they can sort out the case file at a hearing in Hong Kong’s Eastern Magistrates Court on Monday, local media reports said.
The next hearing will be held on March 16th against a group of social media influencers accused of promoting JPEX and serving as the face of JPEX’s storefronts. cryptocurrency Trading store.
They are charged with charges including conspiracy to defraud, fraud, inducing others to make fraudulent or reckless investments in virtual assets, and dealing in property known or believed to be the proceeds of an indictable crime.
Seven of the eight defendants who appeared in court were granted bail under the original conditions. Those indicted include lawyer-turned-influencer Joseph Lam, YouTuber Zhang Win-yi, former TVB actor Chen Chun-hei, and fitness instructor Qiu Kinying. Chen, who did not apply for bail, will remain in custody.
JPEX collapsed in September 2023 after the Hong Kong Securities and Futures Commission (SFC) warned that the platform was making unauthorized and misleading claims. Users then reported freezing their withdrawals. Authorities say more than 2,700 victims lost a total of more than $206 million (HK$1.6 billion).
On November 5th of this year, police arrested and charged 16 people, including six people believed to be core members of the JPEX syndicate, seven people associated with virtual currency over-the-counter exchanges, and three puppet account holders. More than 80 people were arrested during the investigation.
Those arrested face charges ranging from conspiracy, fraud and money laundering to obstruction of justice and unlawfully inducing others to invest in virtual assets under Hong Kong’s anti-money laundering laws.
JPEX and virtual currency in Hong Kong
The collapse of JPEX had a wide-ranging impact on Hong Kong’s crypto sector, prompting changes in the way the SFC communicates licensing information and educates the public about the risks of crypto assets. The scandal also cooled public sentiment towards cryptocurrencies at a time when the government was trying to promote the city as a hub for Web3 and digital assets.
JPEX advertised its services outside of Hong Kong, causing victims in the Philippines and Taiwan.
Three men believed to have been involved in the operation remain at large and are the subject of an Interpol alert. They are Mok Tsung Ting, 27, a Hong Kong national. Chong Chongcheng, 30 years old. and Kwok Horn (28).
Mr Kwok, the sole director of a company linked to Australia’s JPEX, has been questioned since 2023. Authorities have not confirmed reports that he may still be in Australia.
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