Mark Karpeles Soon To Face Mt. Gox Criminal Fraud Charges

Former Mt. Gox CEO Mark Karpeles has been under investigation by Japanese authorities since February of 2014 and is soon expected to face charges of fraud at Mt. Gox. A new report in Japan has been released and can be seen in its entirely (in Japanese) here. A general, but not exact translation is available here.

Mt. Gox (Magic: The Gathering Online Exchange) collapsed in spectacular fashion in February of 2014 after several months of internal mismanagement, all under the stewardship of Mark Karpeles. Ever since that time, the Metropolitan Police Department in Japan has been working on cracking this case and they look to charge Karpeles with fraud shortly.

According interviewed officials within the investigation, the former CEO of Mt. Gox looks to face legal counts related to fraudulently creating and using private electromagnetic records. These were allegedly used by Karpeles to manipulate the exchange and increase the actual balances of phony Bitcoin accounts. This would indicate that there were actually fewer btcoins than originally thought in the exchange.

The officials believe the CEO misappropriated deposited funds by covering incoming bitcoin buy orders with fake accounts. The Metropolitan Police Department may

Read more ... source: Cointelegraph