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CoinFlux CEO Arrested on Charges of Embezzlement, May be Extradited to the U.S.

The CEO of Romania-based Bitcoin exchange CoinFlux, Vlad Nistor has been arrested on behalf of the US government and will be extradited to the United States soon. The arrest was made in the Romanian city of Cluj-Napoca earlier as reported by a local news agency.

Reactions to the CEO’s Arrest

The CEO, who was billed to appear on a Romanian radio show sometime in this month was being advertised by his company as recently as December 3rd. The digital currency has, however, not made any official statements concerning the reported arrest of its Chief Executive Officer. A local newspaper indicated that Vlad would be extradited to the US today, after being detained in the cities of Cluj and Bucharest respectively after the arrest was made. The charges said to be made against the CEO include embezzlement of cash, cyber fraud, fraud, and dishonest and fraudulent business dealings. No response has so far been made by the US Justice Department following an inquiry made into the charges brought against Vlad.
The CEO’s Romania-based Bitcoin exchange, CoinFlux, is about three years old and is a relatively lesser platform in comparison to other exchange platforms. The exchange is not registered on CoinMarketCap’s market list even though exchanges with a lower than $10,000 daily trading volume are listed on the market list.
On the topic of the extradition of CoinFlux’s CEO, a Romanian newspaper outlet spoke against it, as regards the independence of Romania. They wrote that;

“Either Romanian Vlad Nistor rushed USSS guest starters yesterday morning, packed him tonight, or today he wants to pack him in the United States. Nobody opposes extradition from the Romanian authorities, even though the Romanian citizen is only in a criminal investigation stage.”

The newspaper further clarified that there was no reason for the accusation against the CEO and even his lawyers didn’t even have any basis to build their defense on. They spoke about human rights, the fairness to be subject to a judge’s decision and several other matters. The CEO has been reported to be the son of a founder of the second largest financial institution in Romania, Banca Transilvania. Pending more details on this matter, we caution users on the usage of CoinFlux since the company hasn’t made any announcement about their CEO’s arrest.

Similar Arrests on Crypto Exchange CEOs

CoinFlux’s CEO’s arrest is just one out of numerous crypto exchange CEO arrests this year. The CEO of South Korean exchange, Coinnest, Kim Ik-hwan, and another senior executive were arrested in April this year on charges of fraud and embezzlement. It was alleged that both officials stole funds from the accounts of their users. The founder of the OKEx and OKCoin exchanges was also reportedly arrested a few months back on suspicion of fraud, although he was released after there was no concrete evidence against him linking him to the fraudulent project he was arrested for.

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