during a court session on December 2, held in the Southern District of New York, David Brend received a 120-month sentence by Judge Jennifer Rochon for her fraudulent cryptocurrency scheme linked to IcomTech platform.
In addition to a decade-long incarceration, Brend faces financial penalties, including $40,000 in forfeiture. You must appear before the prison authorities before December 16.
IcomTech, posing as a legitimate cryptocurrency mining and trading company, orchestrated a scheme that defrauded thousands of investors of more than $8 million between 2018 and 2019.
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Brend, along with other promoters, traveled across the country to market the platform’s investment opportunities, promising “financial freedom” to potential investors. Instead of engaging in genuine business activities, The company used funds from new entrants to pay returns to previous investors, a classic Ponzi scheme tactic..
the promoters diverted much of the victims’ funds for his personal enrichmentincluding luxury purchases and real estate acquisitions. According to the U.S. Attorney’s office, they withdrew large sums of cash and spent money on promotional events to promote the deceptive company.
Meanwhile, Gustavo Rodríguez, another fraud figure and designer of the IcomTech website, received an eight-year sentence about a month before Brend’s sentencing.
The sentencing of the IcomTech promoter shows the growing scrutiny around the darker side of cryptocurrencies. Meanwhile, Roger Ver, known as “Bitcoin Jesus”, is making headlines by challenging accusations of tax evasion. How did the case develop? Read the full story.
Having completed a master’s degree in Economics, Politics and Cultures of the East Asian region, Aaron has written scientific articles analyzing the differences between Western and collective forms of capitalism in the post-World War II era.
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