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Crypto Ponzi Schemer Pleads Guilty
“In reality, Forcount was not engaged in cryptocurrency trading or mining, and the founder and promoters of the scheme used victims’ funds to pay other victims, to further promote the schemes, and to enrich themselves,” US authorities said.
The scheme was heavily promoted among retail investors, promising the prospect of financial freedom, authorities said. And, although investors saw the supposed profits appear in their online accounts, they were generally unable to withdraw these assets and most investors ended up losing all their money.
As investors complained about their inability to withdraw funds, Forcount also began selling a proprietary crypto token, apparently as a way to “inject liquidity into the system.”
These tokens, known as Mindexcoins, turned out to be worthless and “resulted in further financial losses for the victims,” authorities said.
Tacuri, who was said to be one of the main initiators of the scheme, pleaded guilty to a charge of conspiracy to commit wire fraud. As part of the plea, he agreed to forfeit nearly $4 million and some real estate.
His sentencing is scheduled for Sept. 24 by a U.S. District Court judge.
“With this guilty plea, Juan Tacuri is held responsible for taking advantage of retail investors and selling them a fictitious investment opportunity. Tacuri collected millions of dollars in victim funds – funds that victims could not afford to lose – and spent them lavishly on luxury goods and real estate,” said Damian Williams, U.S. attorney for the Southern District of New York, in a statement.