Author Topic: Mt.Gox founder Mark Karpeles Sentenced to Over Two Years  (Read 3 times)

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Mt.Gox founder Mark Karpeles Sentenced to Over Two Years
« on: March 15, 2019, 10:33:34 AM »

The courts found Karpeles guilty of “illegally producing electronic records” in connection to Mt. Gox’s books and were given a sentence of two years and six months; He was not found guilty of embezzlement and aggravated breach of trust. According to the Wall Street Journal, if Karpeles remains on “good behavior” over the next four years he won’t serve prison time.

At the time of the hack, losses were pegged at 850,000 bitcoins—consisting of 750,000 customer bitcoins, 100,000 of the exchange’s own and worth approximately $500 million. Two hundred thousand bitcoins were later “found” by the company in an old hot wallet, bringing the number down to 650,000 still lost in total.

Karpeles eventually stood trial in 2015, but not on account of the theft. Instead, he was charged with faking trading information at Mt.Gox over “several years” and embezzling $3 million in customer funds deposited with the company.

Reception to Karpeles’ sentence on social media is mixed. Some in the community are satisfied that he was “brought to justice” as the executive responsible for Mt.Gox when the exchange was hacked, while others have voiced concerns with the relatively light sentence considering the impact it had on the Bitcoin ecosystem.

This is what I have expected they found him guilty but he will not spend even an f.....g second in prison!!! This is the justice we have today. I am really mad because I have lost a lot of BTC by Mr.Gox and was sure that he would have the pleasure to bend down for soap several years in the prison shower.

I still believe that Karpeles has robbed Mr.Gox because he was unable to cover his crazy investments, like a bitcoin cafe. Why he faked trading info and took millions?

Many people pointed out that a few days before the hack when they offered him help with security measures (that were known by insiders to be weak) Karpeles seemed to be completely elsewhere, he could not focus and only talked about his new investment in the BTC cafe. He was even not prepared and has to buy a laptop from a computer store on the corner to be able to work with these guys. I don't use names at purpose but these facts are easy to confirm using google search.

I want to know your opinions on that court sentence and generally the entire case of Mr.gox and Mr. Karpeles.