Former Holograph employee gets 5 years over $14M HLG token theft

A Paris criminal court has sentenced a former Holograph Foundation employee to five years in prison over the illegal creation and theft of 1 billion HLG tokens worth approximately $14 million in 2024. Summary A Paris court sentenced a Holograph employee to five years for illegally minting HLG tokens. The defendant illegally created one billion HLG tokens valued at approximately $14 million in 2024. Two accomplices received separate prison sentences and fines for helping transfer cryptocurrency through exchange accounts. Judges rejected Holograph’s compensation claim for HLG’s decline, finding insufficient proof linking the losses directly. The foundation’s lawyer told the court operations had stalled and the company faced possible liquidation. According to AFP, the November 6 ruling requires the Ukrainian defendant, who lived in France, to serve two years in prison, with the remaining three years suspended under probation. The court convicted him of organized fraud, money laundering, criminal conspiracy, and illegally interfering with an automated data processing system. The court imposed a €600,000 fine on the former employee, identified in French court coverage as Vitaly K. Two o...