Suspects Arrested in JPEX Exchange Rugpull Case

Hong Kong Police have arrested a total of 72 suspects linked to the rugpull incident at the JPEX cryptocurrency exchange, which occurred last year. This scandal, one of the most notorious frauds at the time, resulted in a loss of 1.6 billion Hong Kong dollars. Information about the arrests was reported by the local newspaper South China Morning Post.

According to Raymond Siu Chak-yee, the Commissioner of Hong Kong Police (pictured), law enforcement has received 2636 reports related to the case, with the total amount involved in the scandal being approximately 1.6 billion Hong Kong dollars.

The case, considered one of the largest financial frauds in Hong Kong's history, began in September 2023 after Bitrace reported possible rugpull activities on the JPEX Exchange.

The exchange was accused of being involved in a money laundering scheme, and even a well-known internet personality was arrested for promoting the platform. In total, six individuals, including social media influencers, were detained by authorities. Among those arrested are Chan Wing-yee, Joseph Lam Chok, and Sheena Leung. To date, over 83 complaints related to the exchange's activities have been filed.

In response to this scandal, regulations on digital assets were tightened by the Securities and Futures Commission (SFC). The SFC labeled the JPEX Exchange as an illegal platform engaged in suspicious activities. However, JPEX vehemently denied these allegations, calling them premature and undocumented.

A total of 72 suspects have been arrested during ongoing investigations. Secretary for Security Chris Tang Ping-keung announced the seizure of assets worth 11 million dollars in connection with this fraud. Among the arrested individuals are also JPEX technical staff and well-known social media personalities.