- A prosecutor in Turkey asked for jail sentences as long as 40,564 years for 21 officials of a cryptocurrency exchange based in Istanbul, Thodex, a year after it collapsed and its CEO vanished.
- The indictment has accused the defendants of fraud and money laundering, forming a criminal organization, as reported by Demiroren News Agency, according to Bloomberg news.
- The Turkish police have reportedly detained 62 individuals, as per the reports from that time. The Turkish police have said that the Ozer reportedly has fled to Tirana, Albania.
A prosecutor in Turkey demanded jail sentences as long as 40,564 years for 21 officials of Thodex, a cryptocurrency exchange based in Istanbul, after a year, it collapsed, and its CEO vanished.
Last year, the footage was released in which Faruk Fatih, CEO, aged 28, was spotted in Istanbul airport. According to the statement from Interpol, Turkish police have failed to locate him, though he is wanted with a red notice.
According to Bloomberg News, the indictment alleged the defendants forming a criminal organization, fraud and money laundering, Demiroren News Agency reported.
Thodex also played a role in the Turkish cryptocurrency boom that drew investors looking to secure their savings from inflation and a weakening currency.
The indictment informed the total losses at the exchange to be $24 million, while a Chainalysis report published in February estimated losses at $2.6 billion.
The report also highlighted a statement released last April in which Ozer said he would repay investors and return to Turkey.
It should also be noted that Thodex can be attributed to around 90% of the total value lost to rug pulls in 2021. It is a fraud cryptocurrency exchange whose CEO disappeared soon after the exchange stopped its ability to withdraw funds, claims the blockchain forensics firm.
As part of the initial investigation, the Turkish police reportedly detained 62 individuals, according to the reports from that time. According to Turkish police, Ozer is reportedly have fled to Tirana, Albania.
Authorities in Turkey launched fraud investigations against the exchange along with Vebitcoin, another Turkish trading platform that also stopped its services after Turkey’s central bank banned the cryptocurrencies’ use for payments. Meanwhile, Coinzo, another leading Turkish exchange, ceased its operations.
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Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing
Source: https://www.thecoinrepublic.com/2022/04/04/turkish-prosecutor-demands-40564-jail-time-for-crypto-officials-ceo/