Feds have confirmed the indictment of ex-New York funding banker Rashawn Russell for working a crypto Ponzi scheme. [Image: Shutterstock.com]
US Justice of the Peace Decide Ramon E. Reyes, Jr. has indicted New York funding banker Rashawn Russell for an alleged cryptocurrency Ponzi scheme, which may earn the suspect a most 20 years behind bars. Russell supposedly used at the very least $1m in money from the scheme to fund his lavish way of life, together with playing.
Police in Brooklyn arrested Russell Monday and Decide Reyes charged the previous FINRA-registered dealer on Tuesday. The US Legal professional’s Workplace for the Jap District of New York shared the information by way of Twitter:
Russel is charged with wire fraud, making false guarantees to purchasers of his R3 Crypto Fund agency, and for misusing their cash to gamble and payout earlier traders. Prosecutors allege the ex-banker was meticulous in assuring purchasers their cash was secure by fabricating paperwork, together with a pretend wire switch report.
seized on the demand for crypto as a option to fleece a number of traders
As per the Legal professional’s Workplace press launch, US Legal professional Breon Peace said Russell had seized on the demand for crypto as a option to fleece a number of traders with the intention to keep his high-flying way of life. Peace warned any future scammers that her workplace would “proceed to aggressively pursue fraudsters perpetrating these schemes.”
Peace’s steely phrases ought to please the anti-crypto billionaire Charlie Munger, who in February likened cryptocurrencies to playing and referred to as on the US authorities to ban them.