Vietnamese Crypto Form Disappears With Investor Funds

Jul 31, 2018 at 06:32 Update Date :Jul 31, 2018 at 06:32 UTC

According to local reports, CEO of Vietnam-based crypto-mining organisation Sky Mining has allegedly fled with funds collected from investors worth approximately $35 million. Le Minh Tam, CEO of Sky Mining, reportedly disappeared while claiming to perform a clean out of company assets

Interestingly, although Tam hasn’t yet been located in person, he has issued an apology for “everything” on Facebook a few days ago. He explained that the volatility of the market had caused the profits of the company to decline.

Tam allegedly sent out a notice to investors advising them to visit the firm’s office so as to reclaim their money, post which he would announce the bankruptcy. However, when investors visit the Ho Chi Minh headquarters of the firm, they found that the building had been closed down and all the signage removed.

Some 600 miners of the company that were kept in a separate facility were also found to have already been removed by people “claiming to be maintenance workers”.

Deputy Chairman of Sky Mining Le Minh Hieu has now called together a panel that would facilitate the victims of the scam to recover their lost capital. The panel would also sit to assess the total extent of the losses and how much remains. He himself hasn’t been able to provide an estimate of the losses since Tam was directly supervising the mining issue.

Hieu stated to local media that he thinks Tam has fled to the States, saying:

“[The board] has reported this to the police and showed evidence that we are not guilty. We are victims too.”

The entire fiasco happened a mere 3 months after the fall of a big Ponzi scam that had abused Vietnamese investors through two fake ICOs. According to reports, about 32,000 people found their money stolen after company officials bolted with as much as $660 million.

Local crypto firms faced a hack from Vietnamese authorities last week as they were banned from crypto activities. Earlier this month, the central bank of the company also showed support for a ban of crypto-mining associated imports in the country.

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