Quick Overview
South Korean prosecutors have requested a 20-year prison sentence for Delio CEO Jeong Sang-ho. The case involves alleged embezzlement of nearly $169 million in crypto assets. The charges are linked to Delio’s withdrawal suspension in 2023, which impacted thousands of users.
Background of the Case
The case centers around Delio, a South Korea-based crypto asset deposit platform. In June 2023, the company suddenly halted customer withdrawals. This move affected around 2,800 users and raised serious concerns across the crypto industry.
Authorities began investigating soon after the suspension. Jeong Sang-ho was officially indicted in April 2025. The prosecution claims that the platform mismanaged user funds over a two-year period.
Allegations Against the CEO
Prosecutors allege that Jeong embezzled approximately 250 billion won, equal to about $168.8 million. The alleged misconduct took place between August 2021 and June 2023.
The charges fall under South Korea’s Act on Aggravated Punishment of Specific Economic Crimes. Officials also accused the CEO of misleading investors through false promotions. According to prosecutors, his actions worsened investor losses.
Connection to Wider Crypto Disruptions
The case is also tied to broader issues in the crypto sector. A key figure known as Bang was linked to both Delio and Haru Invest. Bang reportedly controlled B&S Holdings, which played a role in the service disruptions.
Haru Invest previously claimed losses of around $236 million due to the collapse of FTX. This event triggered a chain reaction that impacted multiple platforms, including Delio
Legal Proceedings and Court Timeline
The sentencing request was made during closing arguments at the Seoul Southern District Court. Prosecutors emphasized the scale of financial damage and the number of victims involved.
They also criticized Jeong for showing an uncooperative attitude during the investigation. Victims have urged the court to deliver a strict punishment.
