AAX Fraud Case 191 Victims Report HK81M Losses Suspect Charged

• 191 victims reported HK$81M in losses linked to AAX’s sudden 2022 shutdown.
• Police allege operators withdrew HK$633M in crypto after halting services.
• A 39-year-old suspect faces theft and fraud charges as the probe continues.

Authorities have released new details about the 2022 collapse of crypto exchange AAX, including losses and the alleged mastermind behind the shutdown.

Hong Kong’s Commercial Crime Bureau says 191 victims have given statements so far, reporting total losses of about HK$81 million. Investigators also claim that after AAX stopped operations in November 2022, the platform’s operators withdrew virtual currencies worth around HK$633 million.

AAX’s Sudden Shutdown

In mid-November 2022, AAX announced it was suspending services due to “system maintenance and upgrades”. The move prevented users from buying, selling, transferring, or withdrawing their digital assets.

At the time, the exchange had around 2 million registered users. By December 16, 2022, the platform had fully ceased operations. Customers were unable to log into their accounts or check balances, and the company’s North Point office in Hong Kong was reportedly closed, with employees either dismissed or having resigned.

Arrests and Charges

Authorities previously arrested two men in connection with the case. The first was Leung Ho-ming, identified as a director, shareholder, and CEO of Vigo Capital, and described as a platform manager. Thor Chan, founder and former CEO of AAX, was the second individual.

However, police allege that the main orchestrator of the scheme is So Wai-yee, a 39-year-old local man linked to the management of the trading platform.

Investigators said the suspect left Hong Kong in November 2022, around the time AAX announced its “system maintenance”. He was later arrested upon returning to Hong Kong on July 18, 2024.

After seeking legal advice, the 39-year-old was charged with three counts of theft and one count of fraud. 

Alleged Misrepresentation

Police investigations suggest that, when AAX claimed it was undergoing system maintenance, the exchange was already facing serious cash flow problems. Investigators believe the maintenance announcement was used to stop customers from withdrawing their money, while misleading updates were posted on the website.

The investigation is ongoing as officials track where the money went and examine who was involved. With hundreds of victims and hundreds of millions in suspected withdrawn assets, the AAX collapse is seen as one of Hong Kong’s major crypto fraud cases in recent years.

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