By Jason Pan / Employees reporter
Fourteen folks have been arrested over a cryptocurrency funding rip-off that allegedly defrauded greater than 100 folks out of about NT$150 million (US$5.41 million) over the previous 12 months, police mentioned on Friday.
The 14 suspects face prices of fraud, cash laundering and breaches of the Organized Crime Prevention Act (組織犯罪防制條例), the Felony Investigation Bureau (CIB) mentioned.
A businessman surnamed Chen (陳) allegedly led the scheme, mentioned CIB investigator Kuo Yu-chih (郭有志), who’s in command of the case.
Chen promoted cryptocurrency funding on social media and led the Taipei-based Azure Crypto Co, which supplied cryptocurrency transactions, in addition to different funding companies, Kuo mentioned.
Chen’s funding schemes centered on the cryptocurrencies ethereum, tronix and tether, Kuo mentioned, including that Chen promised excessive funding earnings via the blockchain expertise.
“Chen and his workers arrange Internet sites, and allegedly used pictures of fairly girls to draw primarily male victims, lots of whom had been in retirement with substantial financial savings,” he mentioned.
The victims had been drawn to the Internet sites by the engaging photographs and persuaded to speculate via interactions they believed to be with the ladies, whereas Chen and his workers offered themselves as monetary advisers specializing in cryptomining, Kuo mentioned.
Investigators confiscated ledgers itemizing greater than 100 folks caught up within the rip-off, the bureau mentioned.
The one who misplaced essentially the most had invested NT$29 million over two months, it mentioned.
Investigators quoted the person as saying that after an preliminary funding, Azure Crypto promised him earnings that prompted him to speculate extra.
After complaints, the bureau monitored the agency’s actions and its on-line transactions over a number of months earlier than conducting raids late final month on the firm’s workplace, and the residences of Chen and his workers.
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