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Former Kansas Bank CEO Sentenced to Prison for Embezzlement in Cryptocurrency Scam

According to Odaily, the US Department of Justice announced that the former CEO of a Kansas bank has been sentenced to 293 months in prison (about 24 years and 5 months) for embezzling large sums of money to participate in a cryptocurrency scam that led to the collapse of the bank. Court documents reveal that 53-year-old Shan Hans pleaded guilty to one count of embezzlement by a bank executive. During his tenure as CEO of Heartland Tri-State Bank (HTSB), Hans made 11 wire transfers totaling $47.1 million between May and July 2023, directing funds to a cryptocurrency wallet to participate in a cryptocurrency scam. The funds eventually ended up in multiple cryptocurrency accounts controlled by unknown third parties. The Federal Deposit Insurance Corporation (FDIC) covered the $47.1 million loss due to the bank’s federal insurance protections. Hans’ fraudulent actions led to the collapse of Heartland Tri-State Bank, resulting in a $9 million loss for investors.Judge's order