Published on September 14th, 2015 | by bitcoin0
Founder of Major Cryptocurrency Market Caught in Embezzlement Scheme
Mark Karpelès, left, leaves in a taxi after a news conference at the Tokyo District Court in February, 2014.
Photograph: Yuya Shino/Reuters
The former head of defunct bitcoin exchange Mt Gox, Mark Karpelès, has been charged with embezzlement by Japanese prosecutors, according to reports from the Japanese media.
Karpelès is alleged to have embezzled ¥321m (£1.7m) from the bitcoin exchange, which collapsed in 2014 after revelations of a massive shortfall in customer funds.
Karpelès was arrested in August in connection with the loss of hundreds of millions of pounds worth of bitcoin when the exchange collapsed.
He has denied the charges, saying he had intended to pay back the money, according to the Yomiuri Shimbun newspaper.