Crypto scammers ordered to pay $5m for IcomTech Ponzi

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As a seasoned crypto investor who has seen my fair share of market volatility and scams, this news about the IcomTech Ponzi scheme serves as a grim reminder that not every opportunity in the crypto world is golden. The court’s decision to impose penalties on these individuals for their fraudulent activities offers some semblance of justice, but it doesn’t erase the losses suffered by investors like myself who were duped into believing their promises.

Five individuals who played key roles in the fraudulent IcomTech Ponzi scheme have been mandated to compensate $5 million in fines and reimbursements, as they misled investors through a sham cryptocurrency trading platform.

Based on a declaration made on December 11th, David Carmona, founder of IcomTech, and four other key figures – Juan Arellano Parra, Moses Valdez, and David Brend – have been accused for breaching the Commodity Exchange Act and regulations set by the Commodity Futures Trading Commission.

In response to their fraudulent activities, the court mandated that the four involved parties should collectively reimburse over $1 million to the deceived clients as compensation. Additionally, each individual was given a $1 million fine in accordance with civil penalties.

In my work as a researcher, it’s important to note that Marco A. Ruiz Ochoa, who confessed to his part in the scheme, received a consent order mandating joint restitution payments with the others. This action increased the collective penalties to surpass $5 million.

Moreover, the defendant will be barred permanently from registering with the Commodity Futures Trading Commission (CFTC) and participating in any marketplaces that are overseen by the CFTC.

IcomTech, marketed as a business specializing in Bitcoin mining and trading, claimed to offer regular earnings of up to 100%. Operating from 2018 to 2019, it swindled numerous investors by guaranteeing daily returns ranging from 0.9% to 2.8%.

In 2019, the plan disintegrated due to the company’s inability to manage high withdrawal demands. Instead of addressing the issue, they distributed a seemingly helpful token named “Icoms,” but this solution proved virtually valueless, further exacerbating investors’ financial losses.

The accusation states that five people asked for more than a million dollars from 190 people, claiming they would trade Bitcoin and other digital assets on their behalf. However, instead of using the money for trading as promised, these individuals allegedly misused it, resulting in substantial losses for the victims.

Instead, they channeled the funds towards financing luxurious living and organizing grand events as a means to attract more unwary participants into their fraudulent plan.

Back in May 2023, the Commodity Futures Trading Commission (CFTC) initiated a civil lawsuit, which eventually resulted in severe repercussions such as imprisonment and fines for the parties involved.

In the IcomTech Ponzi case, both Carmona and Brend were given a 10-year jail term for their respective actions, whereas Ochoa, who confessed his participation, was handed down a 5-year sentence instead.

In collaboration, both Carmona and Ochoa have relinquished more than $1.2 million from illegally acquired resources. Specifically, Carmona gave up $329,450, while Ochoa forfeited $914,000. The statement also mentioned that Brend was penalized $40,000 as part of his sentencing.

This year in March, Gustavo Rodriguez, the administrator of IcomTech’s online platform, was found guilty of orchestrating deceptive investment schemes and tampering with daily earnings reports.

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2024-12-12 11:30