JPEX Fraud Case Update: Hong Kong Police Charge 16 Suspects, Two Masterminds Still at Large

Hong Kong Police Officially Charge 16 Individuals Involved in JPEX Virtual Asset Trading Platform

Hong Kong police have formally filed charges against 16 individuals involved with the JPEX virtual asset trading platform. The charges include conspiracy to commit fraud, money laundering, and obstruction of justice. Additionally, three people have been accused of providing “puppet accounts” to assist in money laundering. Currently, two masterminds remain at large, but police have issued red notices through Interpol to locate them.

Background Recap: Victims of JPEX Win Lawsuit! Court Orders Return of 240,000 USDT, Hope for Recovery?
Additional Context: Chen Zero Nine Involved in Draft Evasion and Forgery, Released on HKD 300,000 Bail! Netizens Criticize: JPEX Endorsement Fees Are So High That Penalties Don’t Matter

According to Ming Pao, today (May 5), the Commercial Crime Bureau of the Hong Kong Police formally charged 16 individuals connected to JPEX. The charges include conspiracy to commit fraud, money laundering, and obstruction of justice. The case has been ongoing for over a year, affecting more than 2,700 investors with total losses reaching HKD 1.6 billion.

Unlicensed Operations as a Key Conviction Point

JPEX Exchange was flagged by the Hong Kong Securities and Futures Commission (SFC) as an unlicensed operation as early as September 2023, with exaggerated claims about its partnership with Visa. This recent prosecution marks the first time authorities have invoked the anti-money laundering and counter-terrorist financing regulations, specifically the fraud investment provisions, indicating that virtual asset scams are now integrated into mainstream financial regulation.

Influencers and Promotion Chain Involved

The list of suspects includes core personnel from JPEX, over-the-counter (OTC) trading staff, and community KOLs. Influencers such as Lin Zuo, Chen Yi, “Xiang Xiang,” and YouTuber “Zhu Gongzi” are accused of leveraging their social influence to promote JPEX’s high-yield schemes. Their promotion amplified market FOMO (fear of missing out), making it difficult for ordinary investors to exit. Additionally, three individuals are accused of providing “puppet accounts” to facilitate money laundering.

Two masterminds remain at large, but police have issued Interpol red notices to locate them.

Long Road to Investor Compensation

According to Bus Daily, most victims will need to pursue civil litigation to recover their funds. The process is complex, and full recovery of the lost amounts is not guaranteed. Moreover, transaction data is scattered across blockchain records and multiple international financial accounts, complicating asset tracing. This presents a challenge for courts in determining ownership of virtual assets.

Related Reports:

• First Civil Lawsuit Against JPEX: Victims Seek HKD 1.85 Million, JPEX Registered in Hong Kong Absent
• The Rise and Fall of Coin Lord: From Street Money in Hong Kong to Selling Mining Machines and the JPEX Scam… Leading to Global Warrants
• Chen Zero Nine Overcomes JPEX Shadow! Rumored to Be Involved with “Xian Ge’s Daughter,” Social Media Outraged: We Are Fighting for Rights While You Relax

This article was originally published by BlockTempo, a leading blockchain news media outlet.