By CCN Markets: A scammer that called himself the “coyote of Wall Street” has admitted to telling clients he would invest their money in cryptocurrency only to keep it for himself. Patrick McDonnell, a 46-year-old from Staten Island in New York, pleaded guilty to one count of wire fraud on Friday. He explained to U.S. District Judge Nicholas Garaufis, in comments reported by Bloomberg, that he spent the money on himself: I perpetrated a fraud. I claimed to invest it in virtual currency and spent it on personal expenses. How the “Coyote of Wall Street” Worked McDonnell, also known as
Mark Karpeles, CEO of the now-defunct bitcoin exchange Mt. Gox, has been sentenced by the Tokyo District Court. The court convicted him of record tampering but found him not guilty of embezzlement. He received a suspended jail sentence of two and a half years.
Court Sentences Karpeles
The CEO of the now-defunct Mt. Gox exchange, Mark Karpeles, received a suspended jail sentence of two and a half years Friday after the Tokyo District Court found him guilty on charges of data manipulation, according to local media. Noting that the court suspended the sentence for four years, AFP-Jiji Press wrote:
Joel Ortiz, a college student who allegedly stole cryptocurrency worth over $ 5 million, has pleaded guilty and accepted a 10-year prison sentence. Ortiz was arrested last year and accused of hijacking the phone numbers of around 40 people. He is now the first person to be sentenced for the crime, commonly known as SIM swapping.
First Case of SIM Swapping Conviction
The 20-year-old from Boston was detained at Los Angeles International Airport in July 2018 while trying to leave for Europe. He is one of several hackers arrested for SIM swapping last year including Xzavyer Narvaez, Nicholas Truglia and Joseph Harris.
This is the ICO regulators warned you about. Maksim Zaslavskiy, who is the mastermind behind two ICOs for tokenized real estate and diamonds, has pled guilty to fraud in a federal district court in Brooklyn, N.Y. As the first case of ICO fraud in the U.S., this one sets a precedent, with a judge in September
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Earlier this week, a crypto exit scam in South Korea called “Pure Bit” disappeared with more than $ 30 million in user funds. On November 4, the group conducted an initial coin offering (ICO) to raise nearly $ 30 million using Ethereum (ETH) to build a cryptocurrency exchange. On November 13, as CCN reported, Pure Bit and
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Three Thai siblings who are being prosecuted for defrauding a 21-year-old Finnish investor of bitcoin worth 797 million baht (approximately US$ 24 million) in the Criminal Court of Bangkok have pleaded “not guilty” for the charges. At the hearing, prosecutors accused the siblings, Prinya, Supitcha and popular Thai actor Jiratpisit Jaravijit of convincing Finnish investor Aamai
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Gary Davis, an Irishman who was extradited to the United States in July to face charges for his suspected involvement in the operations of Silk Road, has reportedly begun discusssing a plea bargain with prosecutors. Davis, who was known as ‘Libertas’ on Silk Road, has pled guilty to conspiring to distribute narcotics – a charge resulting from roles as a Silk Road administrator.
Gary Davis, charged with assisting Ross Ulbricht in running a drug trade worth more than $ 200 million on the Silk Road drug marketplace, has pleaded not guilty in a New York court to charges of conspiracy to distribute narcotics, computer hacking, and money laundering, according to The Times. Davis, who was extradited from Ireland stand trial in
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In today’s edition of Bitcoin in Brief we cover a number of stories related to crime from around the cryptosphere: an exchange operator pleads guilty to securities fraud, a scammer is fined over $ 1.9 million for bitcoin and binary options fraud, police get a crypto course and a new type of ransomware attack is discovered.
The operator of two now-defunct cryptocurrency services – BitFunder and WeExchange – has pleaded guilty on charges of securities fraud and obstruction of justice.
Jon Montroll, 37, also known as Ukyo, has pleaded guilty to securities fraud and obstruction of justice in front of the U.S. Magistrate Judge James Cott in Manhattan according to Reuters.
According to the prosecutors, Montroll, who is from Saginaw, Texas, operated the cryptocurrency storage and exchange service WeExchange Australia PTY LTD. He also operated BitFunder.com – a platform which allowed users to sell virtual shares of businesses for bitcoins.