In response to growing controversy, Layer-1 blockchain project Self Chain has removed its CEO, Ravindra Kumar, over accusations of orchestrating a $50 million over-the-counter (OTC) scheme.
“Ravindra Kumar’s role as CEO has been formally terminated. He will no longer hold any position, responsibility, or association with Self Chain in any capacity going forward,” the announcement read.
In its tweet, the platform explained that the decision to part ways with Kumar stems from recent developments that have strayed from the Self Chain’s original intent. The project added that it is now pursuing a leadership transition designed to strengthen its focus on long-term goals and uphold the founding vision that defines Self Chain’s purpose and direction.
Although Self Chain took decisive action to remove its CEO due to alleged deviations from the company’s core vision, the project emphasized that it will retain its other founding members, who, according to Self Chain, continue to embody and uphold the original principles and objectives that defined its mission.
Ravindra Kumar Denies Scam Allegation
Last week, Ravindra Kumar was accused of orchestrating a series of OTC scams that affected multiple groups, including AZA Ventures. The scheme, which allegedly began in November, involved offers of heavily discounted tokens, including GRT, APT, and SEI, on Telegram OTC platforms.
Initially, buyers were paid off, which enticed them to invest larger amounts, particularly in assets like SUI. However, the operation collapsed when the operator failed to deliver on larger sales of tokens like SUI and NEAR, instead using new deposits to pay off old buyers.
Following the accusations, Kumar denied them on X, saying, “I’ve been accused of serious wrongdoing, which is completely false. My legal team and I are working on a statement to address this matter. Stay tuned for updates.”
Despite Kumar’s denial, Self Chain terminated his tenure as CEO due to the weight of evidence and allegations surrounding his involvement in the scam, suggesting that his rebuttal did little to alleviate concerns about his actions.
Self Chain Follows Binance’s Footsteps
In a past report, Binance took a similar action against its CEO, Changpeng Zhao (CZ), by removing him and imposing a permanent leadership ban. The crypto exchange made this decision after CZ was sentenced to four months in prison for violating the United States’ money laundering laws.
