A Seoul court convicted Delio's CEO of defrauding 1,100 victims of 70 billion won. The ruling excluded disputed server evidence. Victim recovery and a possible appeal are next.
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A South Korean court sentenced Delio CEO Jeong to 15 years in prison on August 13 after finding him guilty of fraud involving 70 billion won in customer crypto assets. The Seoul Southern District Court said the losses affected about 1,100 victims, making the case one of the country's most serious crypto fraud rulings.
The court also found Jeong guilty of filing false information to register as a virtual-asset service provider. Judges said Delio promoted itself as stable despite lacking adequate operating capability, leaving customers exposed to losses that would be difficult to recover. Evidence obtained through a disputed server search was excluded after the court found procedural violations.
Prosecutors had initially accused Jeong of defrauding roughly 2,800 people of about 250 billion won between August 2021 and June 2023. The court convicted him on a narrower set of allegations. Delio suspended withdrawals in June 2023 and later entered bankruptcy.
The court said victims face significant challenges in recovering their funds. Jeong's legal team has not indicated whether they will appeal.
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