Software company Hancom Inc’s offices and chairman’s home raided by police on crypto and slush fund suspicions

South Korean constabulary agents raided the offices of bundle shaper Hancom Inc. and the location of Hancom Group president Kim Sang-cheol connected suspicions of manipulating the terms of Arowana tokens and creating a slush money connected Oct. 20, according to section media reports.

The Gyeonggi Nambu Provincial Police Station sent investigators to Hancom’s office successful the metropolis of Seongnam and Kim’s location to prehend documents and integer records.

Arowana terms manipulation exposed by section media

The seizure and raid came aft speculations that Arowana token terms skyrocketed owed to terms manipulation came to light.

In April 2022, Arowana token was issued connected the Bithumb integer plus trading platform, and its terms changeable up from its starting terms of 50 won ($0.03) successful the archetypal 30 seconds upon motorboat to 53,800 won ($37.56). The token past plummeted to 300 won. Min Byung-deok, a subordinate of the Democratic Party of Korea has ordered an probe into the token.

Hancom With, Hancom’s blockchain subsidiary, has invested successful Arowana Tech, the creator of Arowana token. Previously, aggregate quality media broke the quality that Kim owned the Arowana token done a concealed Market Making (MM) declaration and that Kim managed the tokens done his lad and directed the instauration of a slush fund.

Meanwhile, Kim has been facing charges, including embezzlement, related to allegations implicit the instauration of slush funds utilizing the profits from Arowana.

In October 2021, section TV presumption JTBC, published a transcript that featured a speech involving Kim, Per Paxnet, and Asia Kyunjae, Kim, who claimed they “own Arowana.“ Kim besides said a slush money was created to administer to 10 radical to sermon ways to marque money.

Hancom has since published statements to refute allegations that Kim owns Arowana and claimed the CEO made a “poor prime of words.“

Bitthumb has delisted and suspended trading of Arowana arsenic of Oct. 26, 2021.

Meanwhile, Lee Jong Hoon, the erstwhile president of Bitthumb was summoned to service arsenic a witnesser and attest successful the ongoing probe into Arowana’s terms manipulation by the National Assembly but failed to appear. The Political Affairs Committee plans to bring charges against Lee and has resummoned him to attest connected the 24th.

The station Software institution Hancom Inc’s offices and chairman’s location raided by constabulary connected crypto and slush money suspicions appeared archetypal connected CryptoSlate.