Kishu Inu Founder Faces Federal Lawsuit Over Alleged $9 Million Rug Pull

On October 08, according to an indictment issued by a federal grand jury in the Northern District of Illinois, Kishu Inu token founder Alexander Sisemore (alias "Kishu Man"/"Kimbo") has been formally charged with three counts of telecommunications fraud.

The indictment reveals that when Sisemore and co-founder Individual A created Kishu Inu in April 2021, they secretly allocated roughly 12% of the total token supply to themselves prior to the public sale, with Sisemore securing approximately 6%. Concurrently, they publicly claimed the project underwent a "fair launch," asserting that the development team held no "team tokens" and founders only retained 1.7% of the tokens.

Throughout this period of ongoing misrepresentation, Sisemore repeatedly offloaded his secretly held tokens via his Gate.io account, utilizing multiple cryptocurrency wallets and a mixer to obfuscate transaction trails. From April 2021 to October 2023, Sisemore generated personal profits of approximately $9 million, while Individual A secured around $800,000.