The Taipei District Court tried the “ACE Exchange” virtual currency fraud case yesterday. The former and current responsible persons of ACE Exchange, Pan Yizhang and Wang Chenhuan, among 8 defendants, were questioned in court. Pan Yizhang denied the crime, stating that it was all orchestrated by the fraud ring leader Lin Genghong. Wang Chenhuan mentioned that he has been working on legal assistance for indigenous people in Nantou and hopes to check in locally once a week.
The Taipei District Prosecutors’ Office announced on April 26 the conclusion of the investigation into the ACE Exchange collusion with the fraud ring case. They have charged 32 individuals, including fraud ring leader Lin Genghong, former and current responsible persons of ACE Exchange, prominent lawyer Wang Chenhuan, with charges of organized crime, fraud, money laundering, etc. The main suspects face over 20 years of imprisonment.
The prosecution alleged that the fraud ring has been selling MOCT, CSO, FITC, NFTC virtual currencies since 2019, writing false investment white papers, selling through ACE and ProEx exchanges, establishing an IMBA direct sales team for promotion, spreading fake news on the internet, manipulating coin prices, deceiving people into investing, resulting in 1292 victims and nearly NT$800 million in fraud proceeds.
Pan Yizhang denied the crime and shifted blame to Lin Genghong. He claimed he had no ability or financial resources to organize and command a criminal organization, receiving only a salary as a professional manager. He stated that he did not profit from selling coins and left the team when his salary decreased. He emphasized that all sales and white paper writing were orchestrated solely by Lin Genghong.
Wang Chenhuan, the former CEO of ACE Exchange, stated during the hearing that he was accused by the prosecution of harboring Lin Genghong. While he had rented his property to a marketing team member, he claimed he was unaware of Lin Genghong residing there. After posting NT$8 million for bail, he is currently under electronic monitoring. He mentioned his recent legal assistance work for indigenous people in Renai Township, Nantou, expressing a desire for a fixed check-in day at the local police station.
According to the prosecution, Wang Chenhuan played a “strategist” role, instructing Lin Genghong to modify white papers, arrange for the exchange of virtual currencies for physical goods and services, list them on DEEPCOIN and UNISWAP exchanges, and assign a lawyer to obtain confidential information for the fraud ring. Additionally, he allegedly hid Lin Genghong in a property in Xindian District, New Taipei City, and extorted NT$72.27 million from a tea company under the guise of “protection money.”
