Turkey detains four, including CEO, in Vebitcoin investigation

Turkish police have detained four people as part of an investigation launched into Vebitcoin. "Four administrators and personnel of the company were detained on Saturday [April 24] on allegations of fraud," a prosecutor said.

Sunday April 25 2021 01:42 pm

Vebitcoin CEO İlker Baş was among those detained.

Duvar English - Reuters

Turkish authorities have blocked the onshore bank accounts of Vebitcoin and detained four people as part of an investigation into the cryptocurrency exchange platform, a local prosecutor said on April 24.

The action came after Vebitcoin announced that it stopped all of its activities citing financial strains. It became the second Turkish platform in a week to face troubles, after authorities detained dozens of people with suspected ties to the Thodex platform.

"Four administrators and personnel of the company were detained on Saturday on allegations of fraud," Mehmet Nadir Yağcı, a prosecutor in the southwestern city of Muğla, said in a statement. One of those detained was Vebitcoin CEO İlker Baş.

Vebitcoin announced on April 23 that it had stopped all activities "in order to fulfill all regulations and claims."

"Due to the recent developments in the crypto money industry, there was a much higher density in our operations than expected. We would like to state with regret that this situation has led us to a very difficult process."

The Financial Crimes Investigation Board (MASAK) blocked the company's accounts and launched an investigation.

Last week, the central bank banned the use of crypto assets for payments, citing "irreparable" damage and transaction risks as reasons for the ban.