Three arrested in connection to a $722 mln scam

United States authorities have arrested three people connected to a cryptocurrency mining scam for over 722 million dollars.

The three alleged scammers - Matthew Brent Goettsche, Jobadiah Sinclair Weeks, and Joseph Frank Abel – have been charged with with conspiracy to offer and sell unregistered securities and Goettsche and Weeks are also charged with conspiracy to commit wire fraud as well.

If convicted they are facing a prison sentence of 25 years and fines between 250 000 USD and 500 000 USD.

Their scheme, called BitClub Network, has existed since mid-2014. They allegedly tricked investors into believing that they were investing into shares of cryptocurrency mining pools and were paying investors for bringing in new victims.

This is yet another massive scam scheme that went unchecked by authorities for years, I wonder how many others like it exist out there.

 

Unfortunately for victims old saying stays true, "fools and their money parted soon"

 

Science don't know, anything faster that light, but this might be it.

 

That is so very true.

 

https://www.justice.gov/usao-nj/pr/three-men-arrested-722-million-cryptocurrency-fraud-scheme

This is a more detailed article. Seems they caught 1 more in Germany but one of them is still on the loose. My guess is he's the guy with all the money.

 

I hope that guy will be caught too.