Newsflash: Mt. Gox: Mark Karpeles Receives Suspended Sentence
Mark Karpeles has been found not guilty on most charges related to the implosion of Mt. Gox. Image from Shutterstock.
The Wall Street Journal reports that the verdict is in on Mark Karpeles. He was found guilty on just one charge: producing illegal records. The rest of the charges, including the loss of millions of dollars in Bitcoin, were dropped. Further, he was handed a suspended sentence.
Karpeles Beats Most Charges, Receives Suspended Sentence for Producing Illegal Records
In the US justice system, at least, a suspended sentence basically means that as long as the accused keeps their nose clean, they never have to go to jail.
Karpeles’ defense attorneys used the fact that he hid the true state of the exchange from investors and users to his advantage. According to the Journal, they argued:
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Mt. Gox did not collapse because of the defendant’s wrongdoing. On the contrary, the defendant was trying his hardest every day to prevent its collapse.
Also crucial to his defense is the fact that US authorities arrested a man believed to have stolen a large portion of the Gox’s coins and laundering them through other exchanges. The ruling came Friday morning from the Tokyo District Court, which is Thursday evening for the entire United States – the home of a huge number of people victimized by the collapse of Mt. Gox.
The Fallout of Mt. Gox Is Ongoing
A sum total of around 200,000 BTC (and subsequently Bitcoin Cash/Bitcoin SV) were eventually recovered from Mt.