Taiwanese singer Nine Chen sent to prosecutors over alleged fraud linked to JPEX

Taiwan’s Investigation Bureau has sent Nine Chen, a popular Taiwanese singer, to the prosecutors' office in Taipei on suspicion of aggravated fraud and violations of banking laws for his alleged involvement in a fraud scheme linked to Hong Kong’s JPEX exchange, according to local media reports.

Following an investigation, authorities have determined that Chen — who reportedly received 320,000 USDT -0.070% to act as JPEX’s brand ambassador last year — is suspected of engaging in fraudulent activities related to JPEX in Taiwan, local newspaper United Daily News reported on Wednesday. The prosecutors have yet to press charges against Chen.

The investigation of the singer came after Hong Kong authorities busted JPEX's local operations last year and arrested dozens of suspects related to a HK$1.6 billion ($204.9 million) fraud case. Many investors in Taiwan were also affected.

In October, prosecutors summoned Chen as a witness but later listed him as a defendant. Chen told local media at the time that the money he invested through JPEX exceeded his endorsement earnings and that his assets had lost about 15% of their value.

Currently, Taiwan requires virtual asset services providers to comply with anti-money laundering laws since the Financial Supervisory Commission introduced those rules in July 2021. JPEX, however, has not registered with the FSC for AML compliance.

Chen’s agency did not immediately respond to The Block’s request for comment.