April 2024 | Revix’s Progress with Haru Invest

Hi Revix investor,

We’re writing to keep you informed regarding recent material developments in the Haru Invest (“Haru”) matter. Our aim is to continuously ensure open, objective, and clear communication as developments unfold.

Haru Invest Developments

The following are noteworthy points:

• As mentioned in prior updates, in June 2023, Haru Invest, one of our primary service providers, abruptly halted all deposits and withdrawals due to alleged reporting irregularities involving its service partner, B&S Holdings.
• Revix, together with other creditors, filed complaints with Haru’s supervisory authorities in the United States, EU and BVI which contributed to the initiation of significant criminal investigations in South Korea. These actions have ultimately led to the arrests of Hugo Lee, Haru’s CEO, and Bang Jun-ho, a key shareholder of B&S Holdings, on charges of fraud by South Korean authorities.
• The first hearing for Haru’s fraud trial took place on 19 March 2024. During this hearing, the Court emphasised the importance of a compensation order which could force Haru to repay investor losses. A compensation order will likely be assessed by the court at the next trial date for Haru’s fraud case which is scheduled for the 19th of April.
• No information pertaining to the immediate accessibility or potential recovery of the value of crypto assets held by Haru and B&S Holdings was shared during the hearing. We expect this information to be uncovered during the ongoing legal proceedings.
• On the 22nd of March, the South Korean authorities requested an arrest warrant for Je-§ong Sang-Ho, the CEO of cryptocurrency lender Delio on charges of fraud. As mentioned in previous updates, Bang Jun-ho, from B&S Holdings is considered a key person of interest regarding the suspensions of both Haru and Delio’s services. An arrest of Sang-Ho is a positive development as it is likely to provide beneficial evidence in the Haru matter.

These developments are positive. The criminal hearing may accelerate the liquidation process especially since evidence can be shared. This will lead to the uncovering of more details in the fraud trial and bring the matter closer to a resolution.

We currently don’t have any additional information and cannot provide Revix Users with an estimated timeline for releasing reserved assets as the ongoing South Korean investigations and trials are still under way.

Drawing from recent liquidations in comparable cases like FTX and Celsius, and considering the need to complete court-led civil and criminal trials, it’s possible that the process of recovering assets may take longer than initially expected.

We caution all readers against drawing conclusions from speculative online forums, social media posts, or media reports that are not privy to the ongoing efforts of creditors, which include Revix, in recovering assets from Haru.

Further updates will be shared each month or more often if credible information becomes available.

We remain fully dedicated to recovering the assets held with Haru and are committed to resolving this as quickly as possible.