South Korean police and executives of a cryptocurrency company are involved in a 249.6 billion won Money Laundering case, and prosecutors have filed charges without detention.

The Suwon District Prosecutors' Office in South Korea announced on Thursday that two senior police officers and five civilians have been charged for their alleged involvement in a Money Laundering network related to Crypto Assets, which involved the conversion of proceeds from voice phishing scams. The indictment was submitted without detention and includes charges of violating the Act on the Aggravated Punishment of Specific Crimes and the Act on the Control of Concealment of Criminal Proceeds.

The senior police officers being prosecuted include the former police chief (Code A) and the former national police department officials (Code B). The prosecution claims that the two received money and luxury goods from a Crypto Assets company manager in exchange for sensitive investigation information and business conveniences. The other five defendants include Crypto Assets company operator C and CEO D, charged with bribery and digital asset Money Laundering.

The investigation shows that A, between July 2022 and last July, got to know C through officials from domestic virtual asset exchanges, received 79 million won, and provided investigation information and facilitated the obstruction of the investigation. Meanwhile, B received items worth approximately 10 million won multiple times between last February and this February, including wallets, shoes, and designer jackets, in return for confirming the progress of the case and assisting in lifting the payment freeze.

The prosecution pointed out that the money laundering gang operated by these Crypto Assets executives converted 249.6 billion won obtained from voice phishing scams into digital assets between January and October last year, of which 11.2 billion won was identified as illegal income, and 1.5 billion won has been subjected to seizure and asset preservation measures.

South Korea's financial regulatory authorities are preparing to impose a new round of penalties on domestic virtual asset exchanges, focusing on combating Money Laundering violations to maintain the integrity of the Crypto Assets market. It is expected that regulatory agencies will impose sanctions and fines on the violating trading platforms and related individuals, handling cases on a first-in, first-out basis. (Cryptonews)