OneCoin Co-Founder Sentenced to 20 Years in Prison for $4 Billion Fraud Scheme
Summary:
Karl Greenwood, co-founder of OneCoin, has been sentenced to 20 years in prison and ordered to pay $300 million for his involvement in the massive fraud scheme. OneCoin, a multilevel marketing and Ponzi scheme, defrauded millions of victims and generated $4 billion. While Greenwood has been apprehended, co-founder Ruja Ignatova remains at large. Other OneCoin executives are also facing charges.
Karl Greenwood, who co-founded OneCoin alongside Ruja Ignatova, has been sentenced to 20 years in prison and ordered to pay $300 million. Ignatova, however, remains on the run. Greenwood, a citizen of the United Kingdom and Sweden, received his sentence in the U.S. Southern District Court of New York. The U.S. Justice Department described OneCoin as "one of the largest fraud schemes ever perpetrated," stating that it defrauded 3.5 million victims and generated $4 billion. The Justice Department asserted that OneCoin had no actual value and lacked a legitimate blockchain. Despite comparing itself to Bitcoin in sales pitches, OneCoin did not possess a verifiable blockchain or mining operations. Greenwood, who had been in custody since 2018, pleaded guilty to fraud and money laundering charges, with potential penalties of up to 60 years. He allegedly profited over $300 million through a commission on OneCoin sales and indulged in a luxurious lifestyle. While Ignatova remains at large and is on the FBI's Ten Most Wanted List, other top executives of OneCoin are facing charges. Former head of legal and compliance at OneCoin, Irina Dilkinska, has been accused of wire fraud and conspiracy to commit money laundering in the U.S. In addition, Ignatova associate Christopher Hamilton is reportedly set to be extradited to the U.S. on charges of fraud and money laundering.
Published At
9/12/2023 7:34:25 PM
Disclaimer: Algoine does not endorse any content or product on this page. Readers should conduct their own research before taking any actions related to the asset, company, or any information in this article and assume full responsibility for their decisions. This article should not be considered as investment advice. Our news is prepared with AI support.
Do you suspect this content may be misleading, incomplete, or inappropriate in any way, requiring modification or removal?
We appreciate your report.