Former Coinone executives found guilty of taking bribes to list altcoins by South Korean Supreme Court
In a significant legal development, the South Korean Supreme Court has maintained the guilty verdict for a group of ex-employees of Coinone, a prominent crypto exchange, who were implicated in accepting bribes for the listing of altcoins on the platform.
This decision marks the culmination of a protracted legal battle that ensued after the Seoul Southern District Court, in September 2023, handed a four-year prison sentence to the former general director of coin listings at Coinone, identified only by the surname Jeon and aged 42. Concurrently, the same court also sentenced an individual known as Kim, aged 32, who previously held the position of manager of Coinone’s listing team, to three years and six months in prison.
Despite lodging appeals against the District Court’s ruling at the High Court, the duo faced yet another ruling of culpability. Subsequently, they pursued their case in the Supreme Court, only to have their original verdicts and sentences upheld.
On July 2, the Supreme Court’s second division maintained the fines of $1.4 million for Jeong and $585,000 for Kim. Both individuals were found guilty of embezzlement, with evidence presented in the court indicating that Jeon had received approximately $1.4 million in cryptoassets and fiat from “brokers” over a period spanning two years and eight months. Prosecutors elucidated that Jeon obtained the initial bribe in 2020 in exchange for the listing of at least one unnamed altcoin.
The court also learned that Kim had received $743,000 in coins and cash over a period of two years and five months. Furthermore, the Supreme Court found both defendants guilty of impeding the exchange’s operations by manipulating the prices of cryptoassets on the platform.
The gravity of the offense was emphasized by the District Court judge, who stressed the pivotal role of integrity and adherence to the law for employees responsible for exchange listings. Consequently, the court emphasized the necessity for severe punishment in cases involving embezzlement and bribery-related offenses.
In rejecting the appeal, the High Court remarked that the defendants had attempted to deflect responsibility onto each other, and it deemed the sentences appropriate considering the magnitude of the financial misconduct. The Supreme Court concluded that neither court had committed any errors that could have influenced their decisions.
As such, the South Korean Supreme Court’s decision has now confirmed the guilt of the former Coinone executives, highlighting the judiciary’s commitment to upholding integrity and legality within the cryptocurrency sector.
