Tag: Arrest

Nigerian Police Arrest Politician Wilfred Bonse for Involvement in Patricia Technologies Financial Fraud

by Blockchain News

The Nigeria Police Force (NPF) has announced a significant breakthrough in a complex financial fraud investigation involving Patricia Technologies Limited. On November 23, 2023, the Force Public Relations Officer, ACP Olumuyiwa Adejobi, detailed the arrest of politician Wilfred Bonse in connection with a security breach and financial fraud at Patricia Technologies.

According to the NPF, the case revolves around criminal conspiracy, unauthorized computer and network data modification, and the illicit diversion of over 200 million Naira (approximately $246,153). The investigation led to the arrest of Wilfred Bonse, accused of laundering 50 million Naira ($61,538) from a total of 607 million Naira ($747,076) fraudulently diverted from Patricia Technologies. This diversion was facilitated through a cryptocurrency wallet.

Further, on November 20, 2023, the NPF-National Cybercrime Center (NCCC) arrested Njoku Kingsley, Chigozie Okorie, and Jideofor Sejus in connection with a separate case of conspiracy, identity theft, and romance scam. This operation in the Wumba District, Apo Area of the Federal Capital Territory, highlighted the suspects’ involvement in swindling victims through a fake profile named Anthony James.

In another development, the NPF-NCCC successfully recovered 179,372.6 USDT in a case involving Ummukulthum Basha and Sean Andres Delacruz, a US citizen. Basha, a cryptocurrency enthusiast, suffered a loss of 20,000 USDT in a fraudulent trading scheme. Sean Andres Delacruz, initially offering assistance, was later identified as the mastermind behind the criminal act. The collaboration with KuCoin was crucial in recovering the funds and identifying Delacruz.

The NPF has emphasized the importance of public vigilance, especially regarding high-yield investment programs that often turn out to be scams. They urge the public to exercise caution and report any suspicious financial activities to their e-reporting portal 

Image source: Shutterstock

Source

Tagged : / / / / / / / / / / / / /

Turkish Crypto Exchange Founder Arrested

by Blockchain News

The founder of Turkish cryptocurrency exchange, Thodex, Faruk Fatih Ozer, has finally been arrested after two years on the run. Ozer was detained by the Istanbul Airport Police Department on April 20, following his arrival at Istanbul Airport from the Albanian capital of Tirana. The 27-year-old is facing charges of fraud and money laundering relating to allegations of an exit scam involving at least $2 billion worth of cryptocurrency stolen from Thodex.

The saga of the Thodex exchange began on April 22, 2021, when the platform abruptly halted trading and withdrawals amid reports of police raids at its offices. Local publications speculated that the suspension was part of an exit scam involving Ozer, who was alleged to have fled Turkey with the stolen cryptocurrency. Interpol subsequently issued a red notice for Ozer, who reportedly ran to Albania.

About a year after Thodex collapsed, Ozer was arrested in Albania in August 2022, and Turkish authorities issued a warrant for his extradition. After several months of legal proceedings, Ozer was finally extradited to Turkey to face charges. The detained founder is expected to undergo health check-ups and then will be taken to the Istanbul Police Department for questioning.

Following the collapse of Thodex, Turkish police detained 62 people over alleged involvement in the exit scam, including some of the then-missing CEO’s siblings. The detainees were charged with fraud, money laundering, and membership of a criminal organization. Turkish authorities have been working with international law enforcement agencies to track down the missing funds, which have been reported to be in various cryptocurrency accounts and exchanges.

The Thodex saga highlights the risks associated with investing in unregulated cryptocurrencies, particularly in countries where the legal and regulatory framework is still evolving. The collapse of Thodex and the subsequent arrest of Ozer has sparked a debate in Turkey about the need for greater oversight and regulation of the cryptocurrency industry. The Turkish government is reportedly working on a new regulatory framework for cryptocurrencies, which is expected to be unveiled later this year.

In conclusion, the arrest of Thodex founder Faruk Fatih Ozer marks a significant development in the ongoing investigation into the alleged exit scam involving the Turkish cryptocurrency exchange. While the recovery of the stolen funds remains a challenging task, the arrest of Ozer sends a strong message to other would-be cryptocurrency fraudsters that they cannot evade justice indefinitely.

Source

Tagged : / / / / /

Terra co-founder indicted for forging legal documents

by Blockchain News

Prosecutors in Montenegro have issued indictments to Do Kwon, the former co-founder and CEO of Terraform Labs, for allegedly forging legal documents. Kwon was arrested on March 23 while attempting to board a private plane at an airport in Podgorica, the capital of Montenegro. According to reports, he was using fake documents while attempting to board a flight to Dubai. Following Kwon’s arrest, Han Chang-jun, Terraform’s former chief financial officer, was also arrested in Podgorica and is facing similar charges.

The Prosecutor’s Office of the State of Podgorica has now indicted Kwon for his alleged involvement in the forgery of legal documents. The Korean industry-focused news agency Block Media reported on April 20 that the Montenegro prosecutors had requested an extension of the detention period for the two former Terraform executives after issuing the indictments.

Meanwhile, Shin Hyun-seung, another co-founder of Terraform, also known as Daniel Shin, is still walking free in South Korea. Local authorities have attempted to arrest Shin, but the Seoul Southern District Court denied the request. After questioning Shin, the court stated that there was little likelihood that he would flee or destroy any evidence related to the fall of Terra.

The news of Kwon’s indictment comes amid global prosecutors reaching major milestones in procedures involving some cryptocurrency executives. On April 20, the Turkish police detained Faruk Fatih Ozer, founder and former CEO of Thodex, who allegedly fled Turkey with $2 billion stolen from the exchange in 2021.

Terraform Labs is a blockchain-based platform that enables the creation of stablecoins pegged to fiat currencies. The company was founded in 2018 by Do Kwon, Daniel Shin, and Ryan John King. The platform’s native token, LUNA, has seen significant growth in recent months, reaching an all-time high of $22.41 on April 4, 2021. Terraform Labs has raised over $25 million in funding to date and has partnerships with several major companies, including Binance and Huobi.

However, the company has faced significant challenges in recent months. In February 2021, the price of LUNA plummeted after the company’s Mirror Protocol was hit by a flash loan attack, resulting in a loss of $370,000. The company has also faced criticism over the high fees associated with using its platform.

Terraform Labs has been actively working to address these issues and has announced several new initiatives in recent weeks. The company is reportedly working on a new stablecoin pegged to the South Korean won, and is also exploring the use of non-fungible tokens (NFTs) on its platform. Despite the challenges, Terraform Labs remains a major player in the cryptocurrency industry and is likely to continue to drive innovation and growth in the sector.

Source

Tagged : / / / / /

Terra co-founder sought for arrest

by Blockchain News

South Korean authorities are intensifying their efforts to track down and arrest Shin Hyun-Seong, also known as Daniel Shin, co-founder of cryptocurrency platform Terra. This follows the recent arrest of his fellow co-founder, Do Kwon, who was detained in Montenegro while attempting to board a plane using fake travel documents.

The authorities have suspected the involvement of numerous Terra colleagues in promoting unstable investment opportunities with Terra (LUNA) and TerraUSD (UST) tokens since November 2022. However, with Kwon’s arrest on March 23, 2023, they are now making a fresh attempt at Shin’s arrest, according to a Bloomberg report. The prosecutors are reportedly undertaking a renewed push to detain Shin, but no official announcement has been made public in this regard.

Authorities have previously alleged that Shin earned roughly $105 million in profits from illegal sales of LUNA tokens before Terra’s collapse. However, Shin claims to have had no involvement in Terra after January 2020, as evidenced by his LinkedIn profile. Nonetheless, arrest warrants have been sought for Shin, along with three investors and four engineers, on charges of fraud, breach of duty, violation of capital markets law, and illegal fundraising.

Meanwhile, Kwon remains detained in Montenegro after being caught with fake travel documents. While his legal representative claims that there was no intended use of fake documents, the Montenegrin court approved the extension of Kwon’s detention by 30 days upon request by the authorities. Kwon’s identity was not clearly identified, and he is considered a foreign national.

Terra, founded in 2018, is a blockchain-based platform that enables users to transact with stablecoins backed by fiat currencies. The platform’s main token, LUNA, has seen significant growth in recent years, with a market capitalization of over $20 billion as of March 2023. However, the platform has also been the subject of controversy, with allegations of insider trading and market manipulation.

The case against Terra’s co-founders and colleagues underscores the risks and challenges associated with investing in cryptocurrencies and other digital assets. As the market continues to evolve and attract greater scrutiny from regulators and law enforcement agencies, investors must exercise caution and due diligence to protect their interests.

Source

Tagged : / / / / /

Iranian Bitcoin Advocate Arrested by Local Security Forces

by Blockchain News

Ziya Sadr, an Iranian Bitcoin advocate, has been arrested by Iranian security forces. Multiple sources disclosed the matter, which was reported on Sunday.

According to sources, the arrest occurred on the streets of Tehran on September 19, and so far, Sadr has not been released.

Sadr’s arrest came amid widespread anti-government protests following the killing of a 22-year-old Iranian woman Mahsa Amini who died in police custody. Iranian authorities arrested at least 35 journalists in connection with the widespread demonstrations.

While Sadr is currently being held in Fashafouyeh Prison and remains in contact with his family and close friends, the reason for his arrest has not been tabled.

Sources said Sadr was not participating in a protest at the time of his arrest. He was set to be released on bail Sunday, but mass arrests from the protests have caused bail requests across the country to be delayed.

Sadr is just one of several Iranian residents and activists detained by the government in the weeks following the protests. It is unknown if the Iranian government’s interest in Sadr is associated with his Bitcoin advocacy.

Sadr is a popular Bitcoin educator and Youtuber and an advocate for the technology. He has been translating Bitcoin content into Farsi and promoting privacy-focused ways to use Bitcoin for personal transactions.

Last year, Ziya Sadr, a Tehran-based Bitcoin expert, disclosed the role that Bitcoin plays for Iran’s economy amid sanctions levelled against the country. For Iran, anonymous transactions made in cryptocurrencies allow local users and firms to bypass economic sanctions that have crippled the economy.

Sadr said: “Iranians understand the value of such a borderless network much more than others because we can’t access any kind of global payment networks. Bitcoin shines here.”

Since former President Donald Trump unilaterally withdrew from Tehran’s nuclear accord with world powers in 2018 and re-imposed sanctions on Iran, crypto has surged in popularity in the Islamic nation.

Image source: Shutterstock

Source

Tagged : / / / /

Buyer of Jack Dorsey’s ‘genesis tweet NFT’ reportedly detained in Iran

by Cointelegraph

Iranian Cyber Police have reportedly arrested Bridge Oracle CEO Sina Estavi, according to a tweet pinned to Estavi’s Twitter account.

A rough translation of the tweet reads:

“The owner of this account was arrested on charges of disrupting the economic system by order of Special Court for Economic Crimes. Official judicial authorities will provide additional information.”

The same tweet is also pinned to the official account of Bridge Oracle, a Tron Network-based public oracle system. At the time of writing, the price of Bridge Oracle’s native token, BRG, has taken a sharp dive, crashing by more than 65%, according to data from TradingView.

Bridge Oracle is said to be a Malaysia-based blockchain company, but Estavi’s other venture, cryptocurrency exchange Cryptoland, was operating in Iran. Cryptoland’s Twitter account shares the same pinned tweet. No further information was shared publicly by the authorities.

Estavi is known for his heated bidding battle with tech entrepreneur and Tron CEO Justin Sun to buy Jack Dorsey’s first-ever tweet as an NFT. Twitter’s first tweet is dated March 2006 and reads, “Just setting up my twttr.”

In the end, Estavi successfully purchased the NFT for more than $2.9 million, or 1,630 Ether (ETH). Dorsey converted the proceeds to Bitcoin (BTC) and donated them to a charity organization in Africa.

Earlier this year, Estavi was sued by former Bitcoin.com CEO Mate Tokay for allegedly failing to pay him for his services. In his claim, Tokay also alleged that there’s an inconsistency between the purported and actual circulating supply of BRG.

Cointelegraph reached out to Bridge Oracle for comment. This article will be updated should they reply.