thecoinrepublic.com
- The authorities in Spain showed their activeness and halted a crypto fraud, as a local media outlet reported.
- The crypto fraud was part of an operation by Spain authorities called “Mandoa.”
The Spanish law enforcement agency, Civil Guard, detained a person who reportedly was a part of a crypto fraud. According to a local media report, the Guardia Civil investigated a crypto fraud that swindled around $110 Million from more than 3,000 people across the world.
The crypto fraud involved non-existent cryptocurrencies as a part of their fraud, where thousands of people got financially harmed. To investigate this fraud, the Guardia Civil launched their operation and named it “Mandoa.” This fraud began after getting a complaint from a person in the province of Alava, claiming he was involved in crypto fraud.
Spain’s Crypto Fraud Investigation
As a part of this fraud investigation, the Spanish oldest law enforcement agency covered the Basque Country and the Balearic Islands. It was also estimated that the recipient of these counterfeit investments was a company based in Palma de Mallorca. As a part of its doing, the company also made individual transfers to nations outside the European Union.
As Civil Guard stated, the members of this crypto fraud company used telephone calls, did advertising in the newspaper, and sent text messages to the victims. They also made false statements about higher returns on the investment and claimed 0% risk.
As a part of their fraud scheme, the fraud members of the company gave access to a website for the people who formalized a contract and submitted the funds. The website showed the profits on investor’s money but with the fake graphs. The members also suggest the investors to keep in touch with fraud brokers of the company so they could stay motivated and can continue their investments in their fraud scheme.
When the investors demanded to get at least some of their profits the members made excuses. They told the investors that it is a closing of annual balance sheets or tax payments. As per the report, the officials have only detained one suspect in Mallorca who is supposedly a part of a crypto fraud group.
The MIMF Unit for Crypto Frauds in The U.S.
According to the U.S. Department of Justice, the Market Integrity and Major Frauds (MIMF) Unit prosecutes crypto fraud and market manipulation. Since 2019, the MIMF Unit charged crypto fraud cases involving more than $2 Billion in intended financial losses to investors from all over the globe.
As mentioned in the crypto enforcement, the prosecutors generally use blockchain data analytics and traditional law enforcement techniques. Using these techniques, they identify and prosecute complex crypto investment schemes.
The prosecutors in this MIMF Unit work along with the U.S. Securities and Exchange Commision (SEC) and the Commodity Futures Trading Commission (CFTC).As a part of its Crypto Fraud National Enforcement Action, MIMF Unit reported $138 Million of financial losses in last year. From January to June 2022, the enforcement results reported the financial losses of more than $2 Billion. Meanwhile the fund recovery was $56 Million.