- ASIC has obtained an interim travel ban against Liang “Allan” Guo, the ex-director of Blockchain Global
- The regulator has launched a criminal investigation into the collapsed cryptocurrency investment firm
- The travel ban is a response to ASIC’s concerns over apprehension about Guo leaving the country during the investigation
The Australian Securities and Investments Commission (ASIC) has secured an interim travel ban against Liang “Allan” Guo, a former director of Blockchain Global. Blockchain Global is a cryptocurrency investment company that collapsed owing creditors a staggering $58 million and which now faces a criminal investigation. The move was prompted by ASIC’s concerns over Guo potentially fleeing the country following the launch of the investigation and will ensure he remains in Australia throughout it.
Federal Court Approves Travel Restrictions
Blockchain Global operated crypto investment scams under several names, including Hyperverse and Hyperfund, which promised investors regular returns on their investments. These efforts came to an end in January after three individuals were hit with allegations of fraud, among them Sam Lee, founder of Blockchain Global and HyperFund.
ASIC has accused Guo of various breaches of the Corporations Act and on February 20 the Federal Court granted its request for the travel ban, asserting that Guo, who holds Chinese citizenship, poses a flight risk and must surrender his passport.
Guo Retained Bitcoins
One of the key allegations against Guo is his purported transfer of investor funds for personal benefit, with ASIC highlighting that during his tenure as a director, Guo allegedly transferred $2.6 million from a bank account holding investor funds to his personal accounts, including his home loan account and personal bank account.
Additionally, the regulator claims that Guo retained approximately 23 bitcoins, valued at around $1.8 million, which belonged to Blockchain Global. These assets were allegedly transferred to a cryptocurrency wallet controlled by Guo in December 2019.
ASIC considers Guo’s presence in Australia crucial for their ongoing investigation, as he is the only remaining individual closely connected to Blockchain Global’s affairs still residing in the country.
