Police Shutdown Crypto-Fraud Scheme That Attracted $359 Million
December 9, 2019, by Marko Vidrih on ALTCOIN MAGAZINE
The Brazilian police stopped the activity of the cryptocurrency fraud scheme, the damage from the activity of which is estimated at one and a half billion Brazilian reais ($359 million).
According to a report on the website of the state administration of Parana, the police conducted a series of raids in the capital of the region of Curitiba and other nearby cities against an unnamed organization. At least 5000 victims were attracted by promises of high returns on investments in Bitcoin.
Fraudsters searched for potential investors in social networks. After receiving the funds, they told the victims to expect a daily increase in capital of 3–4% per day, but did not allow them to withdraw deposits, and soon completely disappeared with the money.
The investigation was carried out for four months. On Thursday, police filed charges of fraud, money laundering, criminal organization and forgery. 50 special forces, 20 pieces of equipment and a helicopter were involved in the operation. In total, 9 people were detained.
In May, Brazilian law enforcement officers arrested 10 people suspected of organizing a cryptocurrency pyramid, the losses from which were estimated at 850 million reais ($210 million).
Author: Marko Vidrih
