Nexo investigation is not political, says Bulgarian prosecutors

Siika Mileva, a spokesperson for Bulgaria’s main prosecutors, denied governmental motivations down the probe against the crypto lending steadfast Nexo, according to section reports. The comments were made successful effect to claims that the probe had a transportation to the company's governmental donations.

Almost each cases wherever a prosecution launches an probe that affects someone's fiscal interests effect successful attacks and accusations, Mileva said, adding that "it has go a nationalist athletics to onslaught the institutions."

On Jan. 12, a radical of prosecutors, investigators and overseas agents searched the company’s offices successful the Bulgarian superior metropolis of Sofia. The cognition targeted a large-scale wealth laundering strategy arsenic good arsenic violations of Russia's planetary sanctions

In little than 48 hours aft Nexo’s offices were raided, four radical were charged with wealth laundering, taxation crimes, machine fraud, and unlicensed banking. Two individuals were released connected bail worthy astir $550,000. The 2 others stay unfound successful Bulgaria and person been declared internationally wanted persons. It’s unclear whether the individuals had a transportation with the crypto firm.

According to Mileva, transactions carried retired by Nexo amounted to $94 cardinal successful a play of 5 years. An organized transgression radical operating successful respective countries since the opening of 2018 has been nether investigation, noted the spokesperson.

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On Twitter, Nexo complained astir the instrumentality enforcement raid and said it was preparing a suit against for damages caused by the abrupt constabulary interruption. The institution classified the authorities attack arsenic “kick first, inquire questions later”.

According to the company, investigators did not supply a hunt warrant for hours, portion inspectors ne'er identified themselves to Nexo employees. 

We are ever cooperating with the applicable authorities and regulators, and we are hopeful that we volition person immoderate breathtaking quality successful the weeks to come. 7/

— Nexo (@Nexo) January 12, 2023

Nexo operates an concern level wherever users tin involvement and get against crypto. Although it has offices successful Bulgaria, the steadfast does not supply services to the country's residents owed to imaginable regulatory issues. The institution was founded successful 2018 and has offices successful the United Kingdom, Bulgaria and Switzerland.

In December 2022, Nexo announced it would signifier retired its United States operations owed to a deficiency of wide regulatory practice with U.S. authorities.