September 25, 2022

South Korean authorities arrest three people in the case of illegal crypto transactions

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South Korean authorities arrest three people in the case of illegal crypto transactions

South Korean authorities have arrested three people as part of an investigation into illegal digital currency transactions worth $3.4 billion.

According to the prosecutor's office, the detainees ownedcompanies that did not conduct any activity, and were also engaged in unregistered cryptocurrency business. In addition, the suspects provided false data to banks and transferred large amounts of foreign currencies abroad.

The suspects are believed to be linked toa company that moved overseas funds worth 400 billion won ($307 million) from a division of Woori Bank based in Seoul. Between May 2021 and June 2022, multiple illegal transactions totaling 1.6 trillion won were made in five branches of Woori Bank, according to the South Korean Financial Supervisory Service.

The agency also noted similar transactionsfor a total of 2.5 trillion won at 11 branches of Shinhan Bank between February 2021 and July 2022. The total amount received by fraudsters amounted to about $3.4 billion. Both banks declined to comment on the investigation of the supervisory service. The South Korean prosecutor's office also did not provide additional information.

Formerly National Revenue Service of South Korea(NTC) said it will take strong action against tax evasion using virtual assets such as cryptocurrencies and platforms that work with them.