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Internal Bithumb documentation implicates former CEO Lee Sang Joon in crypto listing decision.
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Lee denies any involvement, but records indicate that he could have influenced the listings of DOGE or KLAY.
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Bithumb de facto owner Kang Jong Hyun and others face charges.
Prosecutors presented internal Bithumb documentation as new evidence against former CEO Lee Sang-joon. The documents, dated 10 May 2021, were presented to a South Korean Court where Lee faces charges related to cryptocurrency listing on the platform.
The filings suggest Lee, along with former Bithumb Korea CEO Heo Bak-young and former chairman of Bithumb’s token listing review panel, may have played a role in decisions regarding listing of Dogecoins (DOGE) or Klaytns (KLAY).
Heo said that although the identity of the author is confidential, it may be the former chairman of the committee.
Documents Cast Doubt on Lee’s Accusations
Lee has denied the allegations, stating that he did not have the authority to make decisions about listing. The documents cast doubt on Lee’s claims, and suggest he may have had a role in listing the company.
In March 2023, the investigation into Lee began when South Korean authorities investigated allegations of bribery relating to token listings on Bithumb. Lee was indicted in September 2023 without being detained.
The Seoul High Court acquitted Lee of a multi-million dollar fraud case earlier this year. The court ruled he was not liable for defrauding Kim Byung Gun of 110 billion Won (82 million dollars) during acquisition negotiations. This was a follow-up to an earlier acquittal of similar charges, including allegations that he had sought an upfront fee for an unsuccessful BXA token list on Bithumb.
Kang Jong Hyun, Bithumb’s de facto owner is also facing a separate court trial. Kang, along with two other executives faces charges of embezzlement and fraud transactions. According to reports, the accused has admitted the charges.
Read about the investigation of Bithumb CEO for bribe in exchange for false listings
Kang Ji-yeon is Kang’s older sister and a major shareholder of Bithumb-affiliated firms. She has also been accused by the authorities of stock price manipulation. In a statement that has since been deleted, she defended him, dismissing the accusations as “unconfirmed” and “one-sided.”
