Hokkaido Casino Bribes Cost BIT Mining $10 Million
BIT Mining Ltd (formerly known as 500.com Ltd) admitted bribing Japanese officials to advance its plans for a casino project.
The company was fined $54 million by U.S. authorities between 2017 and 2019 for violating the Foreign Corrupt Practices Act (FCPA).
BIT mining saga: CEO and Japanese officials face charges
Due to the financial difficulties mentioned, mining company Unable to pay full fee. The U.S. Department of Justice responded by reducing the fine to $10 million, $4 million of which Related SEC Civil penalties.
this Mining company’s Former CEO Pan Zhengming played a key role in orchestrating the bribery scheme. Pan faces charges of conspiring to violate the FCPA’s anti-bribery and recordkeeping rules. So is he charged Direct violation of anti-bribery rules once and record-keeping rules twice.
To advance plans for a casino resort in Hokkaido, Pan ordered company employees to hand over $2.5 million in bribes. one of the legislator related In this case, Akimoto was sentenced to four years in prison and fined $50,000. He was one of many federal employees recruited by Pan.
“Additionally, since its shares are publicly traded on the New York Stock Exchange, the SEC has also stepped in, settling a civil lawsuit against BIT Mining for falsifying its books and records (also a violation of the FCPA Act, although not a criminal offense) ),” said cryptocurrency lawyer Bill Hughes. explain.
Pan allegedly hired consultants to help 500.com hide the bribes, which included cash, travel, entertainment and gifts. To hide transactions, Pan used sham contracts and labeled payments as legitimate business expenses, such as consulting fees. Despite such plans, 500.com failed to win the bid for the Japanese resort.
In November 2019, before the bribery allegations became public, the governor of Hokkaido chose not to nominate the prefecture as a potential site for Japan’s first phase of casino legalization, thus nullifying Pan’s efforts.
Since the announcement, the BTCM market price has fallen by approximately 6.3% as of this writing.
Going forward, BIT Mining has taken steps to improve its governance and Compliance Practices. The company now incorporates compliance metrics into senior management assessments and has an anti-corruption policy in place.
But perhaps most importantly, mining company A complete shift away from high-risk industries is indicative of a broader effort to rebuild trust and focus on sustainable business practices.
Disclaimer
follow trust project BeInCrypto is committed to fair and transparent reporting. This news article is designed to provide accurate and timely information. However, readers are advised to independently verify the facts and consult a professional before making any decisions based on the content of this article. Please note that our terms and Conditions, privacy policyand Disclaimer Updated.
