US charges two siblings in $124 million cryptocurrency fraud

US charges two siblings in $124 million cryptocurrency fraud

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  • LATEST Sixty-five businesses sign ad in newspaper calling on Texas governor to abandon anti-LGBTQ+ initiatives'It's too late for me to be afraid:' Why this Russian journalist is staying in the countryInstagram users in Russia are told service will cease at midnight (Reuters)US authorities on Tuesday filed criminal charges against a cryptocurrency executive and civil charges against him and his sister, accusing them of defrauding retail investors out of millions of dollars with a digital token known as Ormeus Coin.
  • In papers filed in Manhattan federal court, the Justice Department said John Barksdale lied about the value and profitability of Ormeus Coin's mining assets, including that the coin was backed by a $250 million mining operation generating more than $5 million of monthly revenue.
  • The SEC said the Barksdales since 2017 raised $124 million from more than 20,000 investors through their multi-level marketing company Ormeus Global SA, and spent millions of dollars on travel, real estate and other personal expenses.
  • Authorities said the siblings promoted Ormeus Coin through roadshows and social media, as well as a Times Square jumbotron in Manhattan proclaiming: "$250 Million Cryptocurrency Mining Farm Revealed in Legal Audit by Ormeus Coin."

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