Faruk Fatih Özer, 29, the founder of the now defunct Turkish cryptocurrency exchange Thodex, along with his sister Serap Özer and his brother Güven Özer, have been sentenced to a cumulative prison term of 11,196 years, 10 months, and 15 days, as reported by local media outlets. Additionally, a judicial fine amounting to 135 million Turkish liras has been imposed in accordance with the court’s ruling.
Thodex, one of Turkey’s biggest crypto exchanges, suddenly shut down in April 2021, and Özer vanished. More than 400,000 members couldn’t access their $2 billion in crypto deposits. Özer escaped to Albania but got arrested in August 2022 after Interpol issued a red notice against him.
Despite his escape to Albania, by April 2023, and as per certain sources, possibly in June, Özer was extradited to Turkey. Upon his return, he was promptly detained by law enforcement authorities. He faced a total of seven charges, including but not limited to: establishing and managing an organisation with the intent of committing a crime, membership in an organisation, utilising information systems for fraud in the context of banks or credit institutions, perpetrating fraud against merchants, company executives, and cooperative managers, as well as engaging in the laundering of assets derived from criminal activities.
When the case surfaced, Özer’s brother, sister, and four senior employees were arrested, and 83 others were detained for investigation. In the subsequent trial, 21 defendants faced possible prison sentences totaling up to 40,564 years. According to AFP, prosecutors demanded a 40,562-year prison sentence for Özer.
On Thursday, the Anatolian 9th Heavy Penal Court delivered its verdict, which resulted in the acquittal of 16 out of the 21 defendants. Additionally, four of the seven individuals previously held in custody were released due to insufficient evidence. The remaining offenders received sentences ranging in duration, reflecting the variety of their allegations.
The downfall of Thodex had a tremendous impact in Turkey, as cryptocurrencies were used as a hedge against rampant inflation and the rapid depreciation of the Turkish lira.