Demi Loan Williams, New York District Attorney for the United States, has been sentenced to 42 months in prison for defrauding more than 170 victims of “cryptocurrency signals” in connection with various cryptocurrency funds. He operated. SPENCE was sentenced today by U.S. District Judge Louis A. Kaplan pleads guilty.
Complaining court applications and court statements based on the charges in the indictment and the complaint
A.D. From November 2017 to April 2019, SPENCE asked investors in various crypto investment pools created and managed by “SPENCE”. SPENCE has invested in a number of funds, the largest and most active of which are the Coin Signal Beatmex Fund, CS Mex Fund, Coin Signal Alternative Fund, a / k / a CS Alt Fund, and Long Term Signals Fund. Investors who want to participate in a fund will transfer cryptocurrency, such as Bitcoin and Ethereum, to SPENCE for investment.
SPENCE falsely claims more than $ 5 million, in fact SPENCE’s crypto business was the most profitable when SPENCE’s business was constantly profitable. For example, on January 28, 2018, SPENCE posted a message in an online discussion group stating that it had made more than 148% return on its investment fund last month. As a result of this misinformation, investors transferred more money to SPENCE. In fact, during the same period, approximately one month, SPENCE Trading caused net losses in its investment funds.
To prevent investors’ redemption and to continue their fundraising efforts, SPENCE created virtual accounts, which made it available to investors online. Instead of accurately reporting the loss of business, SPENCE has falsely claimed that investors will make money by investing in SPENCE. To cover up the trade deficit, SPENCE used new investors to repay other investors in a ponzi-like fashion. In total, SPENCE distributed $ 2 million worth of cryptocurrency to investors in the past.
SPENCE, a resident of Bristol Road Island, was sentenced to three years in prison and fined $ 2,847,743.00.
Mr Williams praised the Federal Bureau of Investigation’s investigation and thanked the Commodity Future Trading Commission for its unique civil action.
The case is being investigated by the Office’s Securities and Exchange Commission. Assistant U.S. Attorney Christine I. Magdo is in charge of the prosecutor’s office.