Crypto Scammers Caught: The $36.9M Fraud That Will Make You Facepalm 🤦‍♀️💸

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So, five not-so-bright men have decided to plead guilty to their roles in laundering a whopping $36.9 million. Yes, you heard that right—$36.9 million! All from victims of an international crypto investment scam. Talk about a bad investment choice! 💸

These financial wizards managed to steal money from unsuspecting investors in the U.S. using a delightful mix of shell companies, offshore accounts, and digital wallets. Because who doesn’t love a good game of hide-and-seek with their money? 🙄

Details of The Scheme

The U.S. Department of Justice (DOJ) has secured guilty pleas from a trio of California residents: Joseph Wong, 33; Jose Somarriba, 55; and Shengsheng He, 39. Oh, and let’s not forget the two Chinese citizens, Yicheng Zhang and Jingliang Su, who also decided to join the party. 🎉

In a press release that could have been a plot twist in a bad movie, the DOJ revealed that these fine gentlemen were part of a criminal network that convinced U.S. victims to invest in crypto. Spoiler alert: it was all a scam! 😱

They built trust through unsolicited social media messages, text messages, phone calls, and even online dating sites. Because nothing says “trustworthy investment” like a random DM from a stranger! 💌

Once they had their hooks in, the overseas co-conspirators convinced their targets to transfer money, all while believing they were investing in the next big thing in digital assets. But surprise! The funds were actually being funneled into accounts controlled by the perpetrators. More than $36.9 million was whisked away to a Deltec Bank account in the Bahamas, registered under the oh-so-innocuous Axis Digital Limited. 🌴

Somarriba and He co-founded Axis Digital and opened the Deltec account, with Su later joining as a director. They even had the audacity to instruct the bank to convert the stolen money into USDT. How very generous of them! The trio then sent the converted funds to a wallet controlled by some mysterious folks in Cambodia, who then forwarded it to “scam centers” in the region. Because why not? 🤷‍♀️

Meanwhile, Wong was busy managing a Los Angeles-based network of money launderers, creating shell companies, and wiring funds abroad. Zhang was also in on the action, managing two of those capital obfuscation accounts. It’s like a bad episode of “The Office,” but with more money and less humor. 😅

Suspects Await Sentencing

Wong and Zhang are now facing a maximum of 20 years in prison for their money laundering conspiracy. Somarriba, He, and Su, on the other hand, admitted to running an unlicensed money services business, which could land them a maximum of 5 years. Not exactly a vacation in the Bahamas, is it? 🏖️

They join three others who previously confessed, including Daren Li, a former resident of Cambodia and the UAE, who has been in U.S. custody since April 2024. Another associate, Lu Zhang, a Chinese national, also pleaded guilty to money laundering conspiracy. It’s like a reunion of the worst kind! 🎊

This whole debacle follows a report from the FBI’s Internet Crime Complaint Center (IC3), which revealed that Americans over 60 were the most affected by crypto-related fraud. Over 140,000 complaints linked to digital assets were recorded last year, leading to more than $9 billion in losses. So, if you thought your grandma was just knitting, think again—she might be plotting her next investment scheme! 🧶

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2025-06-15 21:52