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Сourt Accuses Former Mt.Gox Head For Tampering With Records

20:19 15/03/2019
Ex-Head Of Mt.Gox Exchange Receives Suspended Sentence

Mark Karpeles, the former head of the bankrupt Mt.Gox bitcoin exchange, was found guilty of forging documents. A Tokyo-based court sentenced the businessman to two years and six months imprisonment, The Block reports.

 

Karpeles also got four years of probation. Initially, the prosecutors demanded to send the Mt.Gox ex-head to prison for 10 years, but if Karpeles demonstrates his reliability during these four years, he will not face the real jail.

 

It is worth noting that the French businessman and founder of the once largest bitcoin exchange was not found guilty of violating the company’s corporate law and wasting money. Recall that in 2014, 850,000 bitcoins disappeared from the Mt.Gox crypto exchange ($450 million at that exchange rate, or $3.3 billion at the current rate). The company went bankrupt and has not yet returned the funds to the traders, and trials have been dragging on for more than five years.

 

In January, Brock Pierce, bitcoin millionaire and the head of Blockchain Capital, announced his intention to revive the hapless crypto exchange and compensate losses to 24,000 users. According to his assumptions, another 150,000 bitcoins are stored in the company's reserves, which he plans to distribute among their real owners.

 

However, in several days after Pierce’s statement Mark Karpeles expressed doubts about the businessman’s plans. In turn, Brock Pierce accused the founder of Mt.Gox of an attempt to break the deal.

 

Earlier, the court ordered the Canadian exchange QuadrigaCX to find $190 million of lost assets in 45 days.

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