Head Trader of $100M Investment found guilty of running a Ponzi Scheme
According to the US, the head trader of a $100 million global bitcoin Ponzi scheme has admitted guilt and poses up to five years in prison. Justice Department. It was accepted by a 28-year-old Florida man that he and others misled shareholders about Empiresx, a presumed cryptocurrency platform, including promising “guaranteed” returns and claiming that Empiresx operated a trading bot that used artificial and human intelligence to maximise profitability. Instead, Empiresx operated a Ponzi scheme by paying earlier investors with money obtained from later Empiresx investors.
Well, the U.S Securities and Exchange Commission (SEC) said, ” The defendants allegedly misappropriated large sums of investors’ money to lease a Lamborghini, shop at Tiffany & Co., make a payment on a second home, and more.”
However, The Justice Department has anyway arrested all the three men in the month of June itself with one count being of conspiracy to commit wire fraud, and the second being the commitment of securities fraud.
Pires and Goncalves were also billed with “conspiracy to commit international money laundering,” according to the indictment.