South Korean banks suspected of multibillion-dollar cryptocurrency scam

Law enforcement agencies suspect several South Korean banks of fraud worth $ 6.5 billion. A few days after the first arrests, authorities discovered additional irregular transfers involving unknown companies. According to the report, a significant portion of the amount was transferred from an as-yet-anonymous cryptocurrency exchange, after which the money was transferred abroad (in particular, to Hong Kong, Japan, the United States, and China).

Among the transactions that aroused the FSS’s suspicions were transfers made by newly established companies and small businesses. This led law enforcement agencies to assume that the companies were fake and used cryptocurrency accounts to engage in illegal transactions.

The agency also clarified that the transferred money was used to import various goods: jewelry, cosmetics, electronics, etc. In total, 65 companies carried out the transactions.

At the end of July, South Korean investigators raided several local crypto exchanges, seizing transaction records and other materials as part of an investigation into the circumstances that led to the closure of the Terra platform.