All the sessions from Transform 2021 are available on-demand now. Watch now.
TOKYO (By Taiga Uranaka, Reuters) – Japanese prosecutors have filed charges against Mark Karpeles, the former head of defunct bitcoin exchange Mt. Gox, accusing him of stealing $2.7 million of clients’ money, media reported.
The French-born Karpeles, 30, was arrested last month in connection with the disappearance of hundreds of millions of dollars worth of the virtual currency.
The charges, which were filed on Friday, said Karpeles embezzled total 321 million yen ($2.66 million) by transferring clients’ funds deposited at Mt.Gox’s bank account to other accounts, Jiji reported.
The prosecutors’ office was not available for comment.
The money was spent on buying computer software development rights and an expensive custom-built bed, Jiji said, quoting sources familiar with the matter.
Karpeles was suspected of falsifying data on the outstanding balance of the exchange, at one point the world’s largest hub for trading the digital currency, Japanese media reported at the time of his arrest.
Karpeles has denied the charges, telling investigators the data falsification was done for the company and he had intended to pay back the money, Yomiuri reported Saturday, citing sources involved in the investigation.
VentureBeatVentureBeat's mission is to be a digital town square for technical decision-makers to gain knowledge about transformative technology and transact. Our site delivers essential information on data technologies and strategies to guide you as you lead your organizations. We invite you to become a member of our community, to access:
- up-to-date information on the subjects of interest to you
- our newsletters
- gated thought-leader content and discounted access to our prized events, such as Transform 2021: Learn More
- networking features, and more