South Korean Court Registers a Lawsuit Alleging $3.5 Billion Fraud against a Crypto Exchange

A Court in South Korea registers a lawsuit for a regular hearing which has allegedly been filed against a crypto trading platform. Plaintiff accuses V Global, a crypto trading platform, of victimizing investors by committing fraud upon them. According to police, V Global was allegedly hosting a total of 69,000 customers from whom it had received funds towards crypto investment which exceeded US$ 3.5 Billion.

V Global is one of the crypto trading platforms which has been operating locally in South Korea. However, this crypto trading platform has recently been accused of defrauding people by looting their investments. For the time being, as per the police information, the trading platform of V Global is hosting 69,000 South Korean customers. However, some of the customers of V Global were aggrieved by the trading company. In order to settle their grievances, the complaints have become plaintiffs and have moved a lawsuit before the Court of law.

In the lawsuit, the former customers of V Global have claimed that the firm has looted a huge amount of money i.e. US$ 3.5 Billion. They claimed that the amount so looted was in fact deposited by V Global’s customers on the assumption that the funds will be invested. In return, the customers were promised yielding of high profits on a weekly and monthly basis along with referral bonuses.

There are a total of 130 plaintiffs who have collected lodged the suit against V Global alleging that they all are the firm’s victims of fraud. The contents of the lawsuit show that the plaintiffs have been represented through legal assistance by a law firm known as Daegeon.

Daegeon’s attorney said that all the plaintiffs have firstly registered a complaint with the local police station located in Gyeonggi on 4th June 2021. In the complaint, the police registered a case of fraud against employees as well as executives, including the CEO, of V Global. As per the initial probe conducted by Gyeonggi Police, there were 69,000 customers/investors associated with V Global. In addition, a loss of US$ 3.5 Billion has been caused by the victims of fraud, noted police.

Daegeon’s attorney further said that almost half of the customers of V Global were not returned their funds. However, the attorney further contended that the loss of money could be greater but it will be found during trial proceedings.

Before filing the lawsuit, it was V Global that first instituted a complaint about defamation against the law firm.

Meanwhile, upon receiving the lawsuit, the registry branch of the Court has registered the lawsuit. The case has been accepted for normal hearing and the first date of hearing is expected to take place within this month. Separate investigation proceedings at the police level too are ongoing against V Global.

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