On Friday, Chief Executive Officer (CEO) of Mt. Gox, will face the trial of his lifetime. Prosecutors of a Japanese court have demanded the CEO, Mark Kapelès, be sentenced to 10 years in prison under charges of embezzlement and fraud.
This is not the first time, such a request has been put forward by the prosecutors. 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.
Earlier, 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 had said, “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.”
The Mt. Gox CEO has pleaded his innocence several times over and asked “to be forgiven.” The other charges that have been slapped on the former CEO include, spending client funds on prostitutes, overseas trips, utility bills, and an extravagant bed.
While the fate may be decided by coming Friday, it has been stated that the exchange may not start its operations again.
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