In relation to Taiwan’s cryptocurrency industry, the Taipei District Prosecutors’ Office has filed 32 fraud and money laundering indictments against individuals. People in this cluster include David Pan, the founder of JackIssue, and his Ace Exchange-related associate Lin Keng-hong. The prosecutors are recommending a 20-year jail term for the four major defendants, a crucial milestone in this continuing court case.
Police Raid in Taipei Ace Trade, Arrest No. 15
The indictments allege that a sophisticated fraud deceived over 1,200 investors, resulting in losses currently estimated at nearly 800 million New Taiwan dollars ($24.56 million). Compared to the first predictions, which were only 340 million NT$ ($10.6 million), this number is significantly higher. Prosecutors charged Wang Chen-huan, a well-known attorney and the chairman of Ace Exchange, with fraud. If convicted, he could face up to 12 years in prison. His involvement as a legal expert gave the fraudulent acts a semblance of legitimacy.
Following a thorough investigation, Taipei City Police arrested David Pan and 14 other people in January 2024. The Ace Exchange main office was one of the locations targeted by the attack. The investigations discovered links to a phony cryptocurrency wallet service called “Alfred” or “Afu wallet,” as well as related cards.
Ace Exchange disputes ties to Pan, the Founder
2019 saw the suspects actively pushing several token investments, including bitnature coins and NFTC tokens, and releasing cunning white papers and marketing materials. Their goal was to establish Ace Exchange as Asia’s leading blockchain platform for cryptocurrency trading. Even with the guarantees provided, investors faced a much more terrifying reality: their tokens would lose value and could not be exchanged for fiat money.
Due to this financial disparity, other investors filed lawsuits, which is how the current allegations came about. In a move to partially recoup investor losses, the court has swiftly frozen the defendant’s assets. Valued at no less than 3.5 million NT dollars ($110,000), this seizure represents an initial step towards compensating the defrauded investors. While the total recovered sum may not fully reimburse their losses, it offers a preliminary sense of recourse for the victims.
Ace Exchange issued a statement on April 8, asserting that David Pan has no affiliation with Trader’s Paradise, has not participated in day-to-day operations since 2022, and that the platform’s current activities are unrelated to his alleged fraudulent actions. However, despite this assurance, Ace Exchange’s confidence remained unshaken
