December 5, 2022

Ohio Man Accused of Stealing $10 Million Using Crypto Pyramid

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1 min.

Ohio Man Accused of Stealing $10 Million Using Crypto Pyramid

The US Department of Justice has arrested a New Albany-based investment manager on charges of cryptocurrency fraud.

Ohio resident Rathnakishore GiriGiri misled investors by advertising himself as an experienced cryptocurrency trader specializing in bitcoin derivatives, law enforcement officials say. According to the indictment, Geary promised investors a return on the money invested in his projects without risking the amount invested.

In fact, the suspect used the meansprevious investors to pay off new investors in a classic Ponzi scheme, the Justice Department says. Giri is accused of wire fraud. If found guilty, the American faces a sentence of 20 years in prison on each of the five counts.

DOJ says Giri has a long historybad investments. The creator of crypto projects often lost money to investors, and then misled them about the reasons for the delays when investors tried to cash out their funds or receive dividends.

Back in 2018, the Commodity Trade Commissionfutures (CFTC) in the course of implementing a plan to increase the transparency of hedge funds filed a lawsuit against the owner of two investment companies, Ratnakishore Giri.