A review of the biggest 2020 scams, arrests and shutdowns.
The past year was an adrenaline-charged one for scams, arrests and shutdowns of individual scam operations and larger syndicates operating around the world. In fact, data recently released from the U.S. Federal Trade Commission suggests that there has been a sharp increase in reports from consumers who lost money to scams, particularly those who became entrapped on social media.
MyChargeBack, the global leader in complex dispute resolution, has compiled a few examples of criminals who have been arrested and will ultimately serve many years in prison for their crimes.
Boston Man Arrested for Running a Series of Bitcoin Scams
The U.S. Department of Justice (DOJ) recently announced the arrest of a Boston man who claimed responsibility in federal court for his involvement in a string of bitcoin scams. According to the DOJ, Austin Nedved “pleaded guilty to aiding and abetting wire fraud and money laundering conspiracy” and is currently “in custody serving a sentence for a separate fraud conviction.” They further advised on Nedved’s involvement in a number of online dating scams and lottery scams.
Before his arrest, at least $630,000 worth inf bitcoin was sold to a number of bitcoin scam victims by Nedved and his collaborator. The DOJ further reported that the charges for Nedved’s wire fraud escapades could land him up to 20 years in prison, three years of supervised release and a possible fine of up to $500,000.
In addition to this, money laundering charges could land him an additional 20 years in jail, with three years supervised release to top it all off.
Army Reservists Plead Guilty to Online Romance Scams and Catfishing Scams
In the last week of the year two United States Army reservists pleaded guilty to one count of conspiracy to commit wire fraud and bank fraud in connection with a series of romance scams and catfishing scams. Their targets included many victims and a number of banks throughout the United States totalling approximately $3 million.
Federal officials stated that Joseph Iorhemba Asan Jr. and Charles Ifeanyi Ogozy used false identities, created several fake email accounts and accessed exposed business emails to convince their victims to move large amounts of money to a number of accounts that had been set up. To add insult to injury, one of their victims included a U.S. Marine Corps veterans association.
In order to transfer the money they had stolen, multiple bank accounts were opened under the names of fake businesses. Funds were then transferred to their personal accounts and to co-collaborators in Nigeria.
Ogozy will be sentenced on April 14, 2021 while Asan is scheduled to be sentenced a week later. Both could face a maximum sentence of 30 years in prison for their involvement in wire fraud and bank fraud.
Investment Scam Leads to Arrest of Former Managing Directors of Two Companies
India’s Central Bureau of Investigation (CBI) has arrested two former managing directors of two companies in two separate cases involving an investment scam where a considerable amount of investors’ money was stolen.
Awdhesh Singh, former managing director of Sun Plant Agro Ltd,and Dipanker De, the former managing director of New Land Agro Industries Ltd, were recently tracked down and arrested for their involvement in an investment scam that enticed their victims with promises of high investment returns.
Statements from the CBI allege that the pair disappeared after collecting and misappropriating the funds. An extensive investigation had been underway following a directive of the Indian Supreme Court that dates back to May 2014.
The Security and Exchange Board of India (SEBI) noted that the investment scheme was operating without a license or registration and had violated a number of rules and regulations.
If convicted, the two disgraced former managing directors will have a lot of time to think about the pain and suffering they caused their victims while they sit out their lengthy prison sentence.
Need to Report a Scam and Recover your Funds?
Scammers are always looking at new ways to defraud their victims. Anyone can become a victim at any time. However, if you know what to look out for and remain vigilant, the chances of you falling victim to a scam rapidly decrease. If you are looking to recover your funds, you can contact MyChargeBack. We are an American financial services firm specializing in complex, card-not-present dispute resolution. Working with over 800 banks worldwide, we have assisted clients on every continent recover millions of dollars in assets that they thought they lost for good.