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James Carter

June 24, 2023

Crypto Yield Firm Haru Invest Sacks 100+ Employees

According to recent reports, the South Korean Crypto Yield Firm Haru Invest has terminated the employment contracts of more than one hundred of its workers.

Crypto Yield Firm Haru Invest Sacks 100+ Employees

In a statement released provided on Thursday, the firm explained that “after much consideration, it comes with a heavy heart to inform you that we will be minimizing the operations of Haru Invest and its affiliated companies to prevent further damages that are likely to be incurred.”

The operator of the cryptocurrency management service Haru, Haru Invest, as well as the parent business Block Crafters reportedly made the decision to terminate the employment of the affected employees, as reported by the local news outlet Sedaily. On June 23, the contracts are going to be terminated.

Neither the company nor Sedaily has disclosed the precise number of workers who would be impacted by this move; nonetheless, CoinDesk Korea has stated that the figure is greater than one hundred.

The Chief Executive Officer, Lee Hyung-soo, stated during the conference that “it is difficult to operate normally due to the recent situation.” This statement was made in reference to the contract terminations.

Haru put a halt to withdrawals and deposits on June 13, claiming issues with its service partners as the basis for the move.

A procedure of internal investigation led them to uncover that some of the information provided by a consignment operator was “suspected to be false,” according to the firm.

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On June 14, they made the announcement that there was a problem with the external management company B&S Holdings. On June 16, Haru made the announcement that they would be taking legal action against it.

Crypto Yield Firm Haru Invest Sacks 100+ Employees

B&S Holdings Letter

According to the letter written by the CEO on June 20, B&S Holdings “is considered the root of the issue,” and Haru is taking legal action against the company “for fraud, embezzlement, and other allegations.”

In a post that was published on June 22, the company stated that it was unable to provide any additional information but that it was “prioritizing the recovery of damages made and the confirmation of facts by taking legal action against B&S Holdings.”

In the meantime, the corporation has also been confronted with legal challenges.

The President and CEO, Lee, stated that.

“It has come to our attention that a few of our customers have filed legal complaints against our business. We intend to cooperate completely with the relevant authorities in order to guarantee that the facts are determined in a timely and precise manner and that our stance is appropriately reflected in the light of the results.

Eunkwang Joo, who was a co-founder and a former chief technology officer of Haru, was quoted saying in the past that despite the fact that there was an “internal situation,” this is not a case of rug pull.