The Australian Securities and Investments Commission (ASIC) has secured a court order barring Liang “Allan” Guo, former director of crypto firm Blockchain Global, from leaving the country. This move comes amidst an ongoing investigation into the company’s collapse, which left creditors with millions unpaid.
Guo, a Chinese national, is accused of serious misconduct. According to ASIC, he allegedly transferred funds from a bank account holding investor money for personal investments and diverted over $1 million worth of Bitcoin to a private wallet. These actions, if proven true, would constitute a breach of corporate law.
The court order, issued on February 20th, prevents Guo from leaving Australia until August 20th. He is also required to surrender any passport in his possession. Guo is scheduled to appear in court on March 12th.
ASIC is concerned that Guo may flee the country during the investigation. They believe his cooperation is crucial in recovering lost funds for affected investors.
The investigation also targets other Blockchain Global directors, Xue “Sam” Lee and Zijang “Ryan” Xu, who are believed to be residing overseas. Lee was recently charged by the US Securities and Exchange Commission (SEC) for his involvement in a separate $1.7 billion crypto fraud scheme.
The ASIC investigation is expected to take approximately one year. The outcome could have significant implications for Guo, Lee, and the recovery of funds owed to Blockchain Global’s creditors.
Disclaimer: The information provided in this article is for informational purposes only and should not be construed as financial or investment advice. Cryptocurrency investments are subject to market risks, and individuals should seek professional advice before making any investment decisions.
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