Haru Invest, which suspended withdrawals, is suspected of establishing an overseas entity to avoid regulations.
As Haru Invest, a virtual asset deposit service provider, faces bankruptcy and becomes embroiled in fraud allegations, suspicions have arisen that the company established an overseas entity to evade domestic regulations. Additionally, after the service suspension, key executives went into hiding, leading to criticism from investors that this may have been a deliberate fraud.
(omitted)
The sudden suspension of deposit and withdrawal services by Haru Invest has intensified suspicions that Haru Invest and Blockcrafters may have intentionally engaged in fraudulent activities. While Delio, facing similar issues, has taken measures such as meeting with investors and issuing statements, Haru Invest has remained silent, fueling further concerns.
The class-action lawsuit filed by Decent Law Firm on the 20th at the Seoul Central District Prosecutors' Office targets not only Haru Invest’s executives but also the executives, auditors, and management team employees involved in the operations of Blockcrafters. Decent explained that the inclusion of Blockcrafters' executives in the lawsuit is aimed at uncovering the exact cause of the Haru Invest crisis and understanding the previously unclear relationship between the two companies.
One of the key issues in this lawsuit is the suspicion that Haru Invest may have improperly obtained information from Blockcrafters' accelerator (AC) business. Additionally, there are allegations that Haru Invest might have used this information to promise returns of over 10% annually, which is expected to be a focal point in the lawsuit.
Pureun “Ian” Hong, managing partner at Decent Law Firm, stated, “The fact that Haru Invest and Blockcrafters share the same internal directors and office space is evidence that they are essentially the same company. There is also the possibility that sensitive information from projects Blockcrafters gained through its virtual asset investment processes, such as corporate presentation materials, may have been leaked to Haru Invest.”