Lee Sang-jun (이상준), a former Bithumb Holdings CEO who was sentenced to prison in a first trial over allegations of taking large illegal listing fees in return for listing cryptocurrencies, received a reduced sentence on appeal to a suspended prison term.

The Seoul High Court’s Criminal Division 13, led by Presiding Judge Baek Kang-jin, on Sunday sentenced Lee, who was indicted on charges including taking bribes in breach of trust, to two years in prison, suspended for three years, and ordered forfeiture of 11,525,000 won.

The first trial had sentenced Lee to two years in prison and ordered forfeiture of 50,025,000 won.

Former professional golfer Ahn Sung-jae (안성재), indicted as an accomplice to Lee on charges of taking bribes in breach of trust and sentenced in a first trial to four years and six months in prison, was acquitted on appeal.

A businessman identified only by his surname Kang, indicted on charges of offering bribes in breach of trust for providing money and valuables along with an improper request to Lee and Ahn, also received a reduced sentence, to one year in prison suspended for two years, from one year and six months in prison in the first trial.

As in the first trial, the court found not guilty the allegation that Kang delivered 3 billion won to Lee through Ahn in return for a request to list a coin. It also found not guilty the allegation that Ahn deceived Kang into handing over another 2 billion won separately by saying, "The CEO is asking for the listing-request payment quickly."

The first trial had found that Ahn received valuables including a luxury watch from Kang together with Lee in return for the request. The appeals court, however, regarded Ahn as a giver rather than a recipient.

It therefore held that the charge of taking bribes in breach of trust, which punishes the recipient, did not apply to Ahn.

The court explained that there was no direct evidence that Ahn conspired in advance with Lee to receive money in exchange for listing a coin. It said it was more consistent with the facts to view Ahn as having asked Lee to list the coin at Kang’s request.

As Ahn’s charge of receiving bribes was overturned as not guilty, the court also did not 인정 the charges against Kang for giving him valuables and against Lee for receiving valuables in collusion with Ahn.

In the end, only Kang’s act of handing over valuables to Lee in return for the request was found guilty.

The court criticised Lee, saying that receiving improper requests and handling money and valuables related to coin listing work at a virtual asset exchange undermines the market’s fairness and transparency and could cause financial losses to good-faith investors, making it highly blameworthy. It added that the total amount of money and valuables he received in return for improper requests while in an executive role at Bithumb’s operator reached 260 million won.

The court said in explaining its sentencing that Lee also provided Kang with expensive gifts comparable to those he received from Kang, and that the value received was reduced from the first ruling due to Ahn’s not-guilty verdict on taking bribes in breach of trust.

[Yonhap News Agency]