Court rules that Allstarbit committed fraud
Local cryptocurrency exchange Allstarbit’s former CEO Kim Sung-won was sentenced to 17 years in prison for fraud. The court deemed the defendant must be punished severely, pointing to the devious methods to steal 200 billion won. AllStarBit’s executives given the highest sentence of 17 years in prison The Incheon District Court issued its ruling Thursday for AllStarBit executives embroiled in a fraud case. The former CEO, Kim, was sentenced to 17 years in prison, while former co-CEO Min Byung-jin and current CEO Shin Min-soo were each sentenced seven years in prison. Allthemaster CEO Choi Kang-il and two others were sentenced to six years in prison. Kim was one of the crucial figures at AllStarBit, AllstarBit Management and Allthemaster, and he received a harsher prison sentence than the others for his role in those companies and additional crimes he committed. The prosecution earlier requested a 25-year prison term for Kim. A clear fraud case, severe crime “Defendant Kim Sung-won promised a high return to investors, but in reality he was circling funds within to give out returns to others from others’ investments,” the court ruled. “This is a clear fraud case.” “Some of the investor money was transferred to Kim’s private account and used for individual spending,” the court added. “He undermined his investors and took their funds.” In determining the defendants’ sentence level, the court said they “used more clever and high-level tactics in committing the crime as time went on, and the damage amount is around 200 billion won in total, which requires a high level of punishment.” Victims in the case watching the court ruling were not content with the court handing down a lower sentence than expected. They are planning to file a complaint to the court while prosecutors are expected to file an appeal.