A British citizen was fined $ 572 million for defrauding people and buying more than 20,000 Bitcoins in total. However, the authorities have not yet been able to catch the person concerned.
The US Commodity and Futures Transactions Commission (CFTC) announced that a decision was taken against Benjamin Reynolds, Manchester-born. According to the decision taken by the Southern New York District Attorney’s Office, Reynolds will pay about $ 143 million to the victims and $ 429 million in fines for his Bitcoin fraud.
Collected 22,190 Bitcoins
Reynolds announced that he founded a company called Control-Finance, which includes master traders. The investors, who entrusted their portfolio to this team, thought that their money would be folded and they would earn guaranteed earnings.
The site established by the scammers spread with advertisements, referral programs, campaigns and bonuses. Between May and October 2017, more than 1,000 people from around the world, including 169 American citizens, sent 22,190,542 Bitcoins to this site.
The current value of Bitcoins, which was $ 143 million at that time, exceeds $ 1.2 billion.
Transferred the coins to their own account
It turned out that Reynolds ‘claims were unfounded and there was no traders team managing investors’ portfolios. Investors who expected to earn money until October 2017 at the latest, did not receive any payments until that date.
According to what was quoted by the CFTC, Reynolds transferred the money he promised users to his personal account. Investors lost all their Bitcoins.
Reynolds, who received a total fine of $ 572 million as a result of his crime, was banned from markets controlled by the CFTC.