Hong Kong influencer Joseph Lam arrested amid JPEX cryptocurrency investigation involving HK$34 million in assets


Hong Kong police have arrested influencer Joseph Lam Chok in connection with cryptocurrency trading platform JPEX, which is at the centre of an investigation by the force and the city’s financial watchdog.

A source familiar with the case on Monday said Lam was in the morning being questioned by officers from police’s commercial crime bureau. The force also raided an office at Entertainment Building in Central at around 11am.

Lam, a former lawyer, is a well-known influencer in the city.

Do you have questions about the biggest topics and trends from around the world? Get the answers with SCMP Knowledge, our new platform of curated content with explainers, FAQs, analyses and infographics brought to you by our award-winning team.

Joseph Lam Chok is a former lawyer turned influencer. Photo: @jolamchok/Instagram

JPEX-Crypto Platform on Sunday night said negative news surrounding the company had led market makers to freeze its capital and stifle its cash flow.

On Saturday, police revealed they had received at least 83 complaints related to the platform, involving virtual assets worth about HK$34 million (US$4.3 million).

JPEX-Crypto Platform to suspend trades on Monday amid Hong Kong probe

On Wednesday, the Securities and Futures Commission issued a warning to potential investors that JPEX had not filed any licence applications, calling for the public to be wary of any opportunities that seemed “too good to be true”.

An ad for JPEX-Crypto Platform on the internet.

The trading platform had also made false claims that it had obtained licences from overseas regulators, as well as offering high returns on savings products, according to the commission.

It added that JPEX relied on misleading statements made by social media influencers “who are often paid promoters”.

Crypto exchange JPEX is misleading investors, Hong Kong’s SFC says

Since July last year, the securities regulator has included two JPEX-affiliated companies on its alert list, indicating the platform was seeking Hong Kong investors without a proper licence.

More from South China Morning Post:

For the latest news from the South China Morning Post download our mobile app. Copyright 2023.

Follow us on our official WhatsApp channel for breaking news alerts and key updates!
   

Next In Aseanplus News

Brunei Central Bank to introduce durable new coin composition
Chinese wedding games and what happens when they go too far
Instagram plans to use AI to catch teens lying about age
85% of M'sians won't be impacted by RON95 subsidy rationalisation, Dewan Rakyat told
Japan expresses concern to China over Russia-North Korea ties
Philippines inflation matches estimate, gives room for rate cuts
Critically endangered Sumatran elephant calf born in Indonesia
Asian markets swing ahead of toss-up US election
Police to use drones to tackle cross-border crimes in Kelantan
World's first wooden satellite, developed in Japan, heads to space

Others Also Read