Massive crypto Fraud Ring Busted in europe: €100 Million Stolen from Investors
The Hague, netherlands – A coordinated pan-European operation led by Eurojust has dismantled a sophisticated cryptocurrency investment fraud, resulting in the arrest of five suspects, including the alleged mastermind. The scheme, which targeted investors across at least 23 countries, including Germany, France, Italy, and Spain, is estimated to have defrauded over a hundred victims of at least €100 million.
Authorities say the fraud operated for several years, luring investors with promises of high returns on cryptocurrency investments through professionally designed online platforms. Once funds were deposited, a significant portion was allegedly diverted to bank accounts in Lithuania for laundering. Victims attempting to withdraw their investments were then subjected to requests for additional fees, after which the fraudulent websites vanished, leaving investors with ample losses – in many cases, total loss of their funds.
The action day saw searches conducted in Spain, Portugal, Italy, Romania, and Bulgaria, with bank accounts and other financial assets frozen. The primary suspect faces charges of large-scale fraud and money laundering.
“This case highlights the growing threat of cryptocurrency-related fraud and the importance of international cooperation to combat it,” said a Eurojust spokesperson.
International Collaboration Key to Success
The operation was a collaborative effort, spearheaded by Eurojust, which facilitated the establishment of a Joint Inquiry Team (JIT) between Spanish and Lithuanian authorities. This JIT proved crucial in sharing information and coordinating the investigation.
Europol provided operational and analytical support since September 2020, including deploying a cryptocurrency expert to Portugal to assist in seizing crypto assets during the action day.
Authorities Involved:
* Spain: Investigative Court no. 1 of the Audiencia nacional; Anti-Corruption Public Prosecutor’s Office; Policia Nacional
* Portugal: Central Department of Criminal Investigation and Prosecution Lisbon; Central Court of Criminal Investigation Lisbon; Judiciary Police
* Bulgaria: PPO Sofia City; District PPO Plovdiv
* Italy: PPO Turin; guardia di Finanza
* Lithuania: Prosecutor General’s Office, Financial Crime Investigation Service
* Romania: Prosecution Office of the High Court of Justice – DIICOT; Prosecution Office of the Court of Appeal Bucharest; Romanian Police – Directorate for combatting Organised Crime
This bust serves as a stark warning to investors to exercise extreme caution when considering cryptocurrency investment opportunities and to thoroughly vet any platform before committing funds. The investigation is ongoing,and authorities anticipate further developments in the case.
Keywords: Cryptocurrency fraud, Eurojust, Europol, investment scam, money laundering, cybercrime, Spain, Portugal, Lithuania, Europe, financial crime, crypto assets.
