Hong Kong influencer Joseph Lam arrested in JPEX cryptocurrency probe involving HK$34 million in assets
Hong Kong police have arrested influencer Joseph Lam Chok in connection with cryptocurrency exchange JPEX, which is at the center of an investigation by police and the city’s financial watchdog.
A source familiar with the matter said Monday that Lam was being questioned in the morning by officers from the police’s commercial crimes bureau. The force also raided an office at the Entertainment Building in Central around 11am.
Lam, a former lawyer, is a well-known influencer in the city.
JPEX-Crypto Platform said late Sunday that negative news about the company had led market makers to freeze its capital and choke off its cash flow.
On Saturday, police revealed they had received at least 83 complaints related to the platform, involving virtual assets worth around HK$34 million (US$4.3 million).
JPEX-Crypto Platform to Suspend Trading Monday Amid Hong Kong Investigation
JPEX-Crypto Platform to Suspend Trading Monday Amid Hong Kong Investigation
The Securities and Futures Commission warned potential investors on Wednesday that JPEX had not filed any license applications, calling on the public to be wary of any opportunities that seemed “too good to be true.”
The trading platform had also made false claims that it had obtained licenses from foreign regulators and was offering high returns on savings products, according to the commission.
He added that JPEX relied on misleading statements made by social media influencers “who are often paid promoters.”
Crypto exchange JPEX misleads investors, says Hong Kong SFC
Crypto exchange JPEX misleads investors, says Hong Kong SFC
Since July last year, the securities regulator has included two JPEX-affiliated companies on its alert list, indicating that the platform was seeking Hong Kong investors without proper licenses.
