OneCoin Executive Faces Prison Time for Involvement in $4 Billion Crypto Scam
A top executive of the infamous cryptocurrency scheme, OneCoin, has been sentenced to four years in prison for her part in the multi-level marketing (MLM) scam that defrauded billions of dollars from victims globally. The fraudulent scheme, co-founded by Ruja Ignatova and Karl Sebastian Greenwood in 2014, lured investors with promises of high returns on cryptocurrency packages.
The Scheme and Execution
- OneCoin claimed to pay commissions to members who recruited others to purchase its fraudulent cryptocurrency packages.
- Reports state that over three million people invested in these packages, resulting in sales revenue of $4.38 billion and profits of $2.96 billion between 2014 and 2016.
- Head of legal and compliance Irina Dilkinska was sentenced to four years in prison by U.S. District Judge Edgardo Ramos.
- In November, Dilkinska pleaded guilty to conspiracy to commit wire fraud and money laundering linked to OneCoin.
Legal Action and Accountability
The U.S. Justice Department disclosed that Dilkinska, instead of ensuring OneCoin’s compliance with the law, assisted in money laundering activities, including transferring $110 million in fraudulent proceeds to a Cayman Island entity. U.S. Attorney Damian Williams emphasized accountability for all individuals involved in the OneCoin scam, regardless of their location, to ensure justice for the millions of victims exploited by the scheme.
Penalties and Consequences
- Dilkinska has been ordered to forfeit $111,440,000 in addition to her prison sentence.
- She will also face one month of supervised release following her incarceration.
Hot Take: OneCoin Executive Receives Four-Year Prison Sentence
The fraudulent cryptocurrency scheme, OneCoin, continues to face legal repercussions as one of its key executives, Irina Dilkinska, receives a four-year prison sentence for her involvement in the illicit activities of the organization. This development serves as a reminder of the importance of accountability and justice in safeguarding individuals from falling victim to fraudulent schemes in the cryptocurrency industry.
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