Suspects Arrested After South Korean Police Mishandle $1.4 Million in Bitcoin

[Oshosondy]

22 bitcoin  was  confiscated from a company that was hacked in 2021, the police did not send the bitcoin to a noncustodial address that belongs to the government, instead it was transferred to a custodial wallet. The firm with the seed phrase borrowed bitcoin from an individual, the firm later gave the lender the seed phrase.

According to the news, they said two suspects have been arrested, but I did not read that the police has been arrested. Are police not involved in the crime? I think they will intentionally transfer the coin to a custodial wallet that did not belong to the government.

https://decrypt.co/359317/suspects-arrested-south-korean-olice-mishandle-million-bitcoin

[Yamane_Keto]

Bitcoin's high transparency makes government corruption extremely difficult; such things would have been impossible to detect if it were cash. If we assume the best, the police officers' lack of understanding of how Bitcoin works is what led them to give it to a third-party company instead of creating a hardware wallet.

[Wiwo]

Really I don't see any news in this, and the whole story sounds unserious to me, or is it that the details of the whole scenario are not given in this news, how can the police store seized assets in third-party custody, since the names of those arrested where not mentioned in the news, I guess the two people arrested includes the police men involved.

This is definitely an arrangement between those police and the third party they sent the wallet to and besides nothing can be hidden, investigators will unravel whatever has been hidden.

22BTC is a big amount that can't be swept under the carpet by corrupt police men.

[348Judah]

You can see that scam is everywhere and this does not exempt even the so called leaders we are having, people can be so corrupt to behave in an abnormal way, had it been blockchain is not the type that is made an open distributed ledger, maybe some traces could have been achieved, some of these suspects arrested never knew they could be traced and how the transaction was made could be seen to the last recipient of the coins.

[Yamane_Keto]

Really I don't see any news in this, and the whole story sounds unserious to me, or is it that the details of the whole scenario are not given in this news, how can the police store seized assets in third-party custody, since the names of those arrested where not mentioned in the news, I guess the two people arrested includes the police men involved.

Perhaps what happened occurred during a raid, and he was arrested in connection with another case. Bitcoin was discovered during the investigation. The police officers may not believe they can track them, or it could be part of a corrupt system. Ironically, they claim Bitcoin is used for money laundering, and that its high transparency could reduce government corruption.