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Former CEO of Now Defunct Exchange Mt. Gox May Face 10 Years in Prison

December 12, 2018 16:26
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Sometimes it is heartening to know that justice indeed exists in this world and sooner or later, the perpetrators of a crime will be brought accountable.

This is especially true in the light of Mark Kerpeles, the former Chief Executive Officer (CEO) of Mt. Gox exchange, facing the prospect of 10 years of prison as was mandated, earlier this year in February by the Tokyo District Court, as reported by news portal, Nikkei.

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To provide a little context to this case: Mt. Gox exchange filed for bankruptcy in 2014, when its security was breached and millions of dollars worth Bitcoins were lost sometime in 2011-12.  As earlier reported by Crypto-News India, at the time, the exchange still had a lot of funds which were seized by the government and is controlled by a trustee now. This trustee is responsible for overseeing redistribution of assets to creditors.

In a Reddit post, Kerpeles had also revealed that he was not interested in the $1 Billion worth Bitcoins that he was entitled to. He had said, “I did my best trying to grow the ecosystem by running the biggest exchange at the time. It had big problems but still managed to hang in there. For a while. A quite long while, even, while the rest of the ecosystem caught up. At the end of the day, the methods I chose to try to get MtGox out of its trouble ended up being insufficient, insufficiently executed, or plain wrong.”

He added, “I know I didn’t handle the last, stressful days of the outdrawn and painful Gox collapse very well. I can only be humble about that in hindsight. Once again, I’m sorry.”

While the trial was on, the former CEO said, “We have never used customer money illegally.” The prosecutors, however said, “there were no documents for money borrowing and lump-sum payment, and there was no intention of repaying.” The responsibility of using a lot of money and betraying customer’s trust is serious,” and called for a strict sentence.

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A blockchain enthusiast, a wannabe-crypto investor and an all-around enthusiast! Loves travelling, especially to ASI-protected areas, believes in giving her best shot at everything she does! Definitely an introvert.

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