A South Korean court has found Lee Hyung-soo, CEO of Haru Invest, not guilty of criminal fraud related to the mismanagement of over $650 million in investor funds. This ruling, delivered by the Seoul Southern District Court, comes nearly a year after Haru halted customer withdrawals and ceased operations. The case drew significant attention as it became a key legal battle in the crypto sector. Lee and other executives faced accusations of misleading investors about risks while promising high returns, which were suspended amid operational issues. Initially, damages were estimated at over $1 billion, later adjusted to approximately $650 million affecting around 6,000 investors. The prosecution sought a 23-year sentence, but the court concluded that while there were management failures, Lee's actions did not meet the legal definition of fraud. The ruling noted external factors, including the FTX collapse, as contributing to Haru's challenges. Although acquitted of criminal charges, Lee still faces potential civil litigation from investors. Read more AI-generated news on: https://app.chaingpt.org/news