Google sues crypto scammers for tricking users via fake apps

Google is taking legal action against a number of people suspected of masterminding a large-scale cryptocurrency fraud affecting more than 100,000 users around the world.

Today, a lawsuit was filed accusing the distribution of fraudulent investment and crypto exchange apps on the Google Play Store.

Google is leading the way among tech firms by filing lawsuits against crypto scammers, intending to set important legal precedents to protect its users. The lawsuits accuse the defendants of providing Google with misleading information about their identities, locations, and the genuine nature of the apps they uploaded to Google Play.

Google is using the Racketeer Influenced and Corrupt Organizations (RICO) law and breach of contract allegations against those who have allegedly created and promoted at least 87 fraudulent apps. These apps reportedly deceived users by falsely presenting their investments as legitimate.

In a conversation with CNBC Crypto World, Google’s legal head, Halimah DeLaine Prado, expressed that this situation presents us with a rare chance to put our assets into action against harmful elements.

In the year 2023, the United States experienced crypto fraud losses exceeding one billion dollars. Google’s ongoing lawsuit intends to safeguard users and discourage future deceitful practices. The accused individuals, named as Yunfeng Sun and Hongnam Cheung, reportedly targeted victims using diverse techniques such as text messages via Google Voice, promotional videos on YouTube, and affiliate marketing since at least the year 2019.

Applications like TionRT, which is claimed to be a cryptocurrency exchange, are made to look genuine and may initially allow small fund withdrawals to win users’ trust. However, in the end, people were unable to reach their funds, frequently misguided by further payment requests or minimum balance withdrawal conditions. (Paraphrased version)

When deceitful actions in the apps were discovered, Google acted swiftly to eliminate them. However, the swindlers continued to generate new apps as a way to bypass detection.

According to Google, they have sustained damages worth over $75,000 as a result of investigating and implementing security measures due to these breaches. Google is requesting a long-term court order to prohibit the accused and their accomplices from utilizing Google’s services and creating new accounts.

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2024-04-04 17:31