Haru Invest executive arrested in Korea on embezzlement charges

South Korean authorities took serious action against executives at Haru Invest, a cryptocurrency yield platform that had problems suspending withdrawals in June 2023. The Seoul Southern District Prosecutors’ Office’s Virtual Asset Crime Investigation Department announced the arrest of three key people linked to Haru. Invest. Those arrested included the CEO and two other executives, who were accused of embezzling 1.1 trillion won worth of cryptocurrency from 16,000 Invest customers per day.

misappropriation charge

According to the prosecution’s claim, Haru Invest executives committed embezzlement by reinvesting most of the coins deposited by customers from March 2020 to June 2023. They are accused of promoting Haru Invest as a stable company by using ‘risk-free diversification investment techniques’. Be a lie.

This development follows Haru Invest’s recent “no information” announcement. Haru Invest acknowledged it had no specific updates to share and expressed ongoing efforts to recover its assets. Haru Invest suddenly stopped withdrawals on June 13, 2023, and Delio, a depository management company that holds funds in Haru Invest, also stopped withdrawals the next day.

Background of Haru Invest

Founded in 2019, Haru Invest operates a cryptocurrency yield platform that lured investors with the promise of earning interest rates of up to 12% per year on cryptocurrency deposits. After the suspension of withdrawals, affected investors, including Delio, filed a class action lawsuit against Haru in June 2023.

These latest arrests mark a significant development in the ongoing investigation into Haru Invest’s activities and alleged misappropriation of customer funds, as South Korean authorities seek to hold those responsible accountable.