On May 14, the US Department of Justice reported that three Cryptocurrency Centra Tech project participants were accused of fraud after launching an illegal ICO.
According to information provided in the US District Court’s indictment in Manhattan, Sohrab Sharma, Raymond Trapani and Robert Farkas of Centra Tech are accused of technological fraud and securities fraud, as well as a financial conspiracy.
It is reported that Centra Tech ICO, launched in 2017, attracted $ 32 million of investment. As it became known, the defendants got the money from investors by convincing them that they are cooperating with Visa MasterCard in order to issue cryptocurrency debit cards.
Previously, the project involved Floyd Mayweather and DJ Khaled.
Earlier, a representative of the US Securities Commission noted that the ICO as a whole is a highly risky area of investment, noting that most investors are not able to detect fraud.
This post is also available in: Русский